Government planning to expand mortgage programs in Ukraine

The Cabinet of Ministers is planning to expand mortgage programs to provide Ukrainians with affordable housing.

Prime Minister Denys Shmyhal said this at a meeting dedicated to the issue of affordable housing for Ukrainians, including for privileged categories, Ukrinform reports, referring to the Government portal.

"In total, thousands of families are participants in preferential housing programs. Our task is to expand such programs as much as possible so that Ukrainians can improve their living conditions. First, this concerns those citizens who lost their homes because of the war in the east, as well as other privileged categories of citizens. Expanding the activities of the State Fund for Support of Youth Housing Construction and Ukrainian Financial Housing Company testifies that the issue of providing Ukrainians with their own housing on favorable terms is indeed a priority of the Government's work,” Shmyhal said.

Among the participants in the meeting were Minister for Communities and Territories Development Oleksiy Chernyshov, Minister for Veterans’ Affairs Yulia Laputina, Minister of Defense Andriy Taran, and representatives of the Ministry of Finance, the Interior Ministry, the Ministry of Reintegration of the Temporarily Occupied Territories.

Representatives of the Ministry for Communities and Territories Development reported about the progress in implementing projects of the State Fund for Support of Youth Housing Construction. In particular, as part of the program "Housing for Internally Displaced Persons", funded by the German government through KfW, first borrowers have already been chosen and 150 candidates have been identified from among those registered in the project. In total, the German government provided a EUR 25.5 million grant through KfW to finance this program.

Representatives of the Ministry of Finance, in turn, reported that currently there are two main programs of affordable mortgage lending in Ukraine: affordable mortgage at 7% and the program of financial leasing at 5%. The officials also noted that the process of merging the State Mortgage Institution and the Ukrainian Financial Housing Company is underway. Upon completion of the relevant process, it is planned to issue government bonds for UAH 20 billion, which will enhance the process of mortgage lending in Ukraine.

iy