Ukrainian Banks Received Over 4,000 Applications for Energy Infrastructure Restoration Projects

Ukrainian banks have received 4,086 applications from businesses seeking credit for energy infrastructure restoration projects between June 1, 2024, and March 31, 2025. This was reported by UNN, citing the National Bank of Ukraine. According to a survey of 20 banks on business project financing for energy infrastructure restoration, the total portfolio of loans for legal entities' energy needs, considering previously approved applications as of early April, amounts to UAH 10.1 billion. In March alone, citizens received 533 loans for energy needs, totaling UAH 99 million. Since June, a total of 6,799 loans have been issued, amounting to UAH 936 million. Notably, most business loans for energy needs require appropriate project documentation, equipment purchases, and phased financing, resulting in actual loan volumes being smaller than the number of applications received by banks. The NBU also noted that the number of applications received is inflated due to clients submitting them to multiple banks simultaneously, seeking alternative funding sources or facing rejection from one of them. With the National Bank's support, 20 banks, accounting for over 85% of the sector's net assets, signed a memorandum in June 2024, committing to finance energy restoration. The banks' offerings consider the needs of various categories of small, medium, and large businesses, as well as households. Specifically, entrepreneurs can attract financing for projects involving the construction of solar, wind, or biogas plants, the construction of gas turbine and gas piston power plants, the purchase of industrial accumulators, batteries, and more. The base rate for lending under the specified memorandum is from 13.5% per annum (or UIRD3M + 0.5% for the first year of financing, and subsequently no more than UIRD12M + 3%).