03 December 2021, Friday, 17:37 91

Cabinet Approves Provision Of State Guarantees On Portfolio Basis To 12 Creditor Banks In 2021

Даша Зубкова

The Cabinet of Ministers approved the provision of state guarantees on a portfolio basis to 12 creditor banks in 2021.

The Ministry of Finance has said this in a statement, Ukrainian News Agency reports.

It is noted that on December 2, the Cabinet of Ministers adopted a resolution "On the provision of state guarantees on a portfolio basis in 2021."

The implementation of the document makes it possible to provide government guarantees to 12 creditor banks that have passed the selection process to receive partial government guarantees for their loan portfolio for micro, small and medium-sized enterprises.

Also, the maximum amount of such guarantees is determined for each individual creditor bank, and the Minister of Finance is empowered to conclude the relevant transactions.

Based on the results of applications received from banks, the maximum amount of state guarantees on a portfolio basis for the total amount of UAH 8.084 billion was set for the following banks: Oschadbank – UAH 2 billion; PrivatBank - UAH 2 billion; Ukrgasbank - UAH 1.5 billion; Ukreximbank - UAH 1 billion; TAScombank - UAH 600 million; OTP Bank - UAH 500 million; Piraeus Bank - UAH 139 million; Bank Alliance - UAH 100 million; Creditwest Bank - UAH 95 million; Commercial Industrial Bank - UAH 90 million; Asvio Bank - UAH 30 million; MTB Bank - UAH 30 million.

As Ukrainian News Agency earlier reported, in September 2020, President Volodymyr Zelenskyy signed a law on state portfolio guarantees.

In December 2020, the Cabinet of Ministers approved the provision of state guarantees on a portfolio basis in 2020.

The adopted resolution was developed to provide state guarantees to creditor banks to ensure partial fulfillment of debt obligations on a portfolio of such loans for micro, small and medium-sized enterprises.