U.S. EXIM Bank starts financing projects in Ukraine

The Export–Import Bank of the United States, which reopened its two programs in Ukraine after a five-year pause, started to register first transactions on certain projects.

Alex Gordin, Managing Director of Broad Street Capital Group, told Ukrinform on Tuesday after a meeting organized by the U.S.-Ukraine Business Council (USUBC) in Washington.

According to Gordin, after EXIM officially resumed two programs in Ukraine in December 2018, it is now engaged in processing a package of first transactions. In particular, this concerns the projects on the creation of solar power plants.

“Many companies deal with the installation of solar power plants because it is profitable, and several have already started to buy this equipment in the United States to install them in Ukraine,” said Gordin.

In addition, according to him, a number of agricultural producers, who need to purchase agrarian equipment, seeds, consumables, also launched the work on purchasing these products from American companies.

As Ukrinform reported, the U.S. EXIM Bank decided to resume its cooperation with Ukraine after a five-year interruption. EXIM reopened its programs for both private and public sectors.

The U.S.-Ukraine Business Council called this step “a terrific signal” to U.S. companies seeking to supply the Ukrainian market with U.S. goods and services. In addition, it also sends “an encouraging message” to investors on the improving economic condition in Ukraine.

The short-term EXIM programs of the bank, in particular, provide additional guarantees, a kind of non-payment insurance, for exporters to sell their goods and services in Ukraine. Medium-term programs are primarily aimed at supplying U.S. equipment or launching small projects in Ukraine.

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