Ukrainian banks organized consortium to lend to defense industry enterprises under state guarantee

On December 26, six Ukrainian banks signed the largest in the history of the Ukrainian financial market, a loan consortium agreement for UAH 21.5 billion for a period of three years under a state guarantee to finance one of the enterprises of the defense industry complex (DIC).

This was announced by the Minister of Defense of Ukraine Denys Shmyhal.

"The new consortium project in the defense industry logically continues the practice of joining forces to support critically important sectors of the economy and demonstrates the ability of banks to quickly adapt to the strategic needs of the state," commented NBU Chairman Andrii Pyshnyi.

It is noted that the bank-organizer of the consortium loan was a state bank, and private banks also participated in the consortium.

According to the National Bank, the funds raised will be used to manufacture military goods.

"The scale of the consortium indicates the banks' willingness to support the defense industry and participate in strengthening the country's defense capabilities. We count on further support from the banking sector," said Ukrainian Defense Minister Denys Shmyhal.