EBRD-led package allocated to repair energy infrastructure in Ukraine

The European Bank for Reconstruction and Development has approved a financing package worth EUR 372 million to support Ukrenergo, the Ukrainian government-run operator of the national power grid.

That’s according to a statement released by the bank’s press service, as seen by Ukrinrform.

“The European Bank for Reconstruction and Development (EBRD) has approved a financing package that will bring €372 million to support Ukraine’s electricity transmission company, Ukrenergo, to make swift emergency repairs of damages caused by heavy bombings of civilian power infrastructure during Russia’s war on Ukraine and to keep the country’s energy system stable as winter sets in,” the statement reads.

The EBRD will make a sovereign guaranteed loan of EUR 300 million including two components. Up to EUR 150 million is for equipment procurement to implement emergency repairs to the Ukrainian power transmission system. A further EUR 150 million consists of capital structure support.

Separately, the emergency repairs part of the loan will be supplemented by a grant for up to EUR 72 million provided by The Netherlands.

As reported by Ukrinform, Norwegian Finance Minister Trygve Slagsvold Vedum signed an agreement with the European Bank for Reconstruction and Development on November 21 to provide financing in the amount of NOK 2 billion so that Ukraine could buy natural gas this winter.