Cooperation of OTP BANK with international partners gives an opportunity to expand access to soft loans for business – V.Mudryi
Cooperation of OTP BANK JSC with international financial partners gives an opportunity to open wide access to soft loans programs for as big as possible amount of clients, thereby helping business in the extremely difficult conditions of war. Told chairman of the management board of OTP BANK Volodymyr Mudryi during Banking Forum, organized by “Ekonomichna Pravda”.
“International financial institutes play important role in support of economy of Ukraine and lending recovery. Cooperation with EBRD, USAID and IFC allows us to provide to the clients maximum access to the programs with low interest rates, with cashback and with additional guarantees from institutional investors”, - said V.Mudryi.
OTP BANK implements a program with European Bank for Reconstruction and Development, within which offers to small and middle enterprises investment loans with possibility of partly compensation of costs. The parties signed a cooperation agreement, which allows OTP BANK to provide the Ukrainian private sector with EUR 120 million financing with the participation of the EBRD through an instrument to cover 50% of credit risk on a portfolio basis. These loans can be directed for support of green technologies (modern agrarian machines and energyficient equipment, solar panels for powerlants, gas turbine or gas piston stations).
The Bank also implements a grant program with the US Agency for International Development USAID, which already allowed to finance Ukrainian enterprises for more than UAH 500 mill. with 7% preferential rate. Support is provided to companies from critical sectors of the economy (agriculture, logistics, energy), businesses that need relocation, as well as companies owned or managed by women. «For me, the number of Ukrainian women in business was a pleasant discovery, because 48% of loans under the program were issued to female entrepreneurs. Therefore, we expect the continuation and expansion of cooperation with USAID», - added chairman of the management board of OTP BANK
The Bank cooperates with International Finance Corporation within the agreement under the risk-sharing program to provide financial support to enterprises in key sectors of the Ukrainian economy.
As V.Mudryi noted, in general situation on lending market is gradually changing. “If since the beginning of the full-scale war, the corporate portfolio of Ukrainian banks has decreased by 20%, now financial institutions have adapted to today's conditions and started to increase their credit capabilities. In 2023, the vast majority of loans were issued under the "Affordable loans 5-7-9%" program, which is implemented by the government on the initiative of the President of Ukraine through the Entrepreneurship Development Fund, now - more and more on market terms”, - noted v Mudryi.
Share these news with friends!
Public Joint Stock Company OTP Bank is a subsidiary of OTP Bank, which is the largest independent Central-Eastern-European banking group. JSC OTP Bank is one of the largest domestic banks, a recognized leader in the financial sector of Ukraine. The Bank provides a full range of financial services to corporate and private customers, as well as to small and medium enterprises. The bank entered the Ukrainian market in 1998, and since then it enjoys a staunch reputation of socially responsible, reliable and stable institution providing its consumers with services of European quality standard.
Additional information
