Volumes are growing: in March, almost UAH 4 billion of loans were issued under state guarantees

Ukraine continues to actively support small and medium-sized enterprises through the mechanism of state guarantees. According to the Ministry of Finance of Ukraine, only in March of this year, more than a thousand credit agreements were concluded for a total amount of almost 4 billion hryvnias. This is another step towards supporting micro, small and medium enterprises in the country.

For the period from December 2020, when this instrument was introduced, to March of this year, the total amount of loans issued under state guarantees on a portfolio basis is more than 111.8 billion hryvnias. This indicates high activity in the use of this mechanism and its importance for stimulating economic development.

It is noted that in two years the volume of loans issued under state guarantees has increased by almost a quarter. Such a positive development is important for strengthening financial stability and supporting business in a difficult period for the country.

Currently, according to the Ministry of Finance, 29 banks service more than 18,000 loans worth almost 64 billion hryvnias. PrivatBank and Oschadbank are the leaders in terms of the number of loans serviced, which together serve more than half of the total limit of guarantees provided.

Regions with different degrees of entrepreneurship development also show excellent results. The largest volume of loans is serviced in Kyiv and Dnipropetrovsk region, while the situation is less active in the south of the country, in particular in Luhansk and Donetsk regions.

These data indicate the successful implementation of the state support program for small and medium-sized businesses through the mechanism of state guarantees, which is becoming an important tool in stimulating economic growth and development in Ukraine.