On December 24, 2021, JSC "CREDITWEST BANK", the Ministry of Finance of Ukraine and JSC "Ukreximbank" entered into a Sub-financing Agreement under the Finance Agreement between the European Investment Bank (EIB) and Ukraine dated 28.12. 2015, aimed at implementing the Project "Core Loan for the Agricultural Sector - Ukraine", ratified by the Law of Ukraine No. 1530-VIII dated 20 September 2016, with a total amount of EUR 400 million, for further lending to enterprises of the agricultural sector of Ukraine.

Types of borrowers who can receive loans from JSC "CREDITWEST BANK" under the Joint Project

• SMES: Small and medium-sized enterprises (up to 250 employees);
• PSC: Medium-sized enterprises (number of employees from 250 to 3000);
• PC: Eligible enterprises (number of employees from 3000).

• Production of major grains/oilseeds, including investments in agricultural machinery and equipment and modernization of production infrastructure;
• Drying/cleaning of grains and oilseeds, expansion, modernization and certification of sorting/testing and storage facilities;
• Expansion, modernization and certification of grain and oilseeds processing and distribution/logistics capacities;
• Restoration of aquaculture and fish farming production, including pond infrastructure and arrangement, development of fish farms, infrastructure for landing and fish farming activities;
• Fish processing and preservation facilities and related infrastructure, including cold chain logistics.

• production, distribution and trade of gambling equipment;
• production, distribution and trade of tobacco products;
• activities involving live animals for experimental and scientific purposes;
• activities that lead to negative environmental impacts;
• activities considered unethical or immoral or prohibited by national law;
• financial activities;
• production, distribution and trade in arms and small arms, ammunition, military or police equipment;
• acquisition of licenses, quotas, production rights and other rights granted by state authorities;
• acquisition of land, unless it is technically necessary for the investment;
• acquisition of farmland;
• acquisition of businesses;
• financing of real estate (purchase, construction or restoration) for the purpose of selling or leasing the building to third parties.

Thanks to the participation of the European Investment Bank, the bank's clients will receive financial benefits.

JSC "CREDITWEST BANK" will provide financial benefits to the Final Beneficiaries, which will be reflected in a favorable interest rate. Such financial benefit will be at least 100 basis points (i.e. 1% per annum) compared to the annual interest rate that JSC "CREDITWEST BANK" would apply to such loans without the participation of the European Investment Bank.

The Project financing is conditioned on the sub-borrowers' compliance with the following requirements:

• Compliance with Ukrainian and EU environmental legislation as published on the EIB website*
• The borrower's procurement shall be in compliance with the EIB requirements and rules as set out in the Procurement Guidelines published on the EIB website on procurement published on the EIB website**

Reference:

The European Investment Bank (EIB) is an international financial institution (IFI) whose shareholders are the member states of the European Union (EU). The Bank was founded in 1958, in accordance with Article 308 of the Treaty on the Functioning of the European Union. The EIB, together with local financial institutions, participates in financing programs and investment projects that contribute to the development of the country where they are implemented and to the achievement of EU policy objectives.

* EIB Guide to procurement

** EIB Statement of Environmental and Social Principles and Standards