Spain has signed an agreement with the European Bank for Reconstruction and Development (EBRD) to provide guarantees in the amount of EUR100 million to support the bank’s operations in the municipal sector of Ukraine, as well as to ensure food security in Ukraine, the bank said on Thursday.
“Boosting agricultural production and securing the agricultural value chain in Ukraine are critical to ensuring food security. The EBRD’s investments are also helping to avert a global food crisis by addressing risks to the supply of vital foods, particularly to economies that are highly dependent on food imports (such as those in the bank’s southern and eastern Mediterranean region),” the bank said.
“We are truly delighted and thankful for this very important contribution from Spain, one of our strongest partners over the years. These guarantees will allow the bank to tackle the crucial issue of food security in Ukraine and beyond and continue its support for Ukrainian municipalities, now and when the reconstruction of the country starts,” EBRD President Odile Renaud-Basso said.
“Spain joins a number of donors that have responded through the EBRD to the financial and technical support needs brought about by the war on Ukraine. Some EUR1.4 billion has been generously made available to date for operations aimed at keeping the Ukrainian economy going and ensuring energy security, adequate transportation and support for small businesses, among other things,” the EBRD said.
“The EBRD is supporting Ukraine and its real economy at a time when the country needs it most. The bank has committed to providing EUR3 billion of financing over 2022-2023 in partnership with international donors to help keep Ukraine’s businesses and economy functioning. In 2022, the EBRD deployed EUR1.7 billion in support of Ukraine. It also mobilized EUR200 million directly from partner financial institutions. The Bank has been operating in Ukraine for more than three decades and is the largest institutional investor in the country,” it said.