EIB funds will upgrade 12 electricity substations and develop modern energy communication system
Ukraine provides guarantees to private electricity utility company Ukrenergo for EIB loan
EIB and Ukraine sign MoU aimed at saving lives and reducing accidents on roads in five large municipalities
The European Investment Bank (EIB) is lending EUR 136 million to Ukraine’s National Power Company Ukrenergo in support of an extensive modernisation programme for its transmission infrastructure, helping to ensure that Ukrainian citizens and companies have a reliable source of electricity. The Ukrainian Government strongly supports this project as is evidenced by the agreement that it signed with the EIB today, under which it will provide guarantees to back the EIB loan.
The EU bank and Ukraine also signed today a Memorandum of Understanding to develop a Ukraine Urban Road Safety project that will provide infrastructure investment designed to improve urban road safety – a major issue for citizens in Ukraine and a priority for the Ukrainian Government. In addition, the EU intends to provide a EUR 4.25 million technical assistance grant to support the development and implementation of the project, ensuring that Ukraine has access to best practice in road safety.
The projects, which are backed by an EU guarantee under the EIB’s external lending mandate, are of particular significance as both the transport and energy sectors have been identified by the EU and Ukraine as key areas for cooperation.
EIB Vice-President Vazil Hudák commented: “Our lending operations in Ukraine, amounting to some EUR 5.5 billion, are fully in line with EU policies and help to foster progress in the country and deepen its cooperation with the European Union. Both projects will have a direct positive impact on the quality of life of Ukraine’s citizens, and will further develop Ukraine’s economy and strengthen its competitiveness.”
Prime Minister of Ukraine Volodymyr Groysman, who witnessed today’s signing ceremony in Brussels, stated: “The Government of Ukraine is keen to enhance cooperation with the European Investment Bank. This is why I, as Prime Minister, welcome the signing of today’s bilateral documents aimed at contributing to reforms in my country, in particular the upgrading of energy and road infrastructure.”
European Commissioner for Transport Violeta Bulc emphasised: “Road safety is a human rights issue: every life counts. A comprehensive approach, covering behaviour change, education, enforcement and infrastructure, is needed. We have developed expertise and commitment in improving road safety in the EU and are glad to share this globally with partner countries such as Ukraine. I am pleased that Ukraine and the EIB are signing today this important programme, which is also supported by EU funds.”
The EIB loan to Ukrenergo will finance the rehabilitation of 12 substations with operating voltages in the 220-750 kV range, located in the Dnipro power system in Ukraine. The EIB loan complements other IFI support aimed at rehabilitating the existing infrastructure and developing a modern fibre-optic communication system to protect, monitor and control the power grid, enabling remote control of all the concerned substations located across Ukraine.
The Urban Road Safety project will support municipal schemes focused on increasing road safety and improving access to public transport in five major cities in Ukraine: Dnipro, Kharkiv, Kiev, Lviv, and Odessa. The funds will be used to finance infrastructure investments to enhance urban road safety, develop IT solutions for safe and effective traffic management and create facilities for cyclists and pedestrians.
The proposed Project comprises the rehabilitation of 33 electricity transmission substations. The primary objectives are maintaining the current level of network reliability as well as abating maintenance and operating costs.
Framework loan for the financing of infrastructure investments and IT solutions related to public transport and urban road safety in five municipalities (Dnipro, Kiev, Kharkiv, Lviv, and Odessa) in Ukraine.
The development finance arm of the European Investment Bank – EIB Global – signed today a memorandum of understanding (MoU) with PT Sarana Multi Infrastruktur (Persero) (PT SMI), an Indonesian state-owned enterprise acting as a catalyst for sustainable development. The memorandum of understanding advances their joint commitment to accelerating sustainable infrastructure development in Indonesia, including to facilitate a sustainable energy shift in the country in line with the Just Energy Transition Partnership (JETP).
EIB Global, the financial arm of the European Investment Bank for activities outside the European Union, has signed an €11 million EU grant for the Montenegro education programme to enable 13 education facilities, including kindergartens, primary schools, vocational schools and secondary schools, to be modernised and equipped. The upgraded infrastructure will improve learning conditions and the quality of teaching, while promoting digital transformation, skills development and the shift to a knowledge-based economy. It will help the country increase its schooling capacity by creating close to 1 700 new places for pupils and 530 full-time jobs for teachers.
EIB Global, the financial arm of the European Investment Bank (EIB) for activities outside the European Union, has signed a cooperation agreement with the National Bank of North Macedonia under the Greening Financial Systems (GFS) programme. The agreement will enable the provision of advisory services to the National Bank designed to enhance its regulatory and supervisory climate risk management practices, as well as the reporting capacities of the financial sector in the country. These activities will help local banks understand the climate risk exposure of companies in North Macedonia and support their sustainability practices.