Luxembourg and Lviv, 17 April 2024 – Bank Lviv, a regional SME-dedicated financier secured €6 million financing in local currency from the Green for Growth Fund (GGF) to bolster resilience among businesses and contribute to Ukraine's green economic revival.
During the unprecedented times for the country, Bank Lviv has demonstrated strong commitment in supporting regional businesses with much-needed longer-term financing for various investment needs, including for re-location and adaptation. The new loan facility, denominated in local currency, will predominantly support investments in sustainable agricultural equipment, energy-efficient measures, and small-scale renewable initiatives, aimed at enhancing the competitiveness and environmental footprint of local businesses, while generating a catalytic effect to Ukraine’s green recovery.
Since the beginning of its partnership with GGF in December 2020, Bank Lviv has made significant strides in green lending, building up relevant internal capacities and know-how and facilitating relevant green investments by local SMEs. This partnership has enabled the Bank to navigate the complexities of wartime operations, ensuring continuous service to its clients through targeted technical assistance and support in energy efficiency and renewable energy projects.
Christopher Knowles, Chairperson of GGF, emphasized the loan investment's alignment with broader objectives: "This financing reaffirms our dedication to Ukraine's sustainable development and economic resilience. By empowering businesses with green financing solutions in local currency, we contribute to a more sustainable and robust economic landscape in Ukraine."
"By supporting investments in sustainable agriculture, energy efficiency, and renewable initiatives, we aim to enhance the competitiveness of local businesses while contributing to Ukraine's green recovery. Our partnership with Bank Lviv demonstrates our support of Ukraine’s resilience amidst challenging times, ensuring continued access to financing,” said Borislav Kostadinov, Fund Director at GGF.
Management of Bank Lviv sees a special value in supporting Ukrainian entrepreneurs. Ashot Abrahamyan, Chairman of Bank Lviv, emphasizes the importance of our long-term cooperation: “True partnership is being proven in difficult times. We appreciate our cooperation with GGF, which despite the war, continues supporting Bank Lviv and Ukrainian businesses with green and sustainable solutions”.
Natalia Osadcii, Deputy Chairwoman of Bank Lviv highlighted the latest developments and pointed to the benefits thanks to this new financing from GGF: “Ukrainian business never stoped to grow and develop. The war teaches us the price of freedom and for many businesses to be free means to be effective and have independent energy resources. Only in 2023 Bank Lviv financed 107 energy efficiency & renewable energy projects along with other ecological investments. With this facility from GGF we will continue supporting more businesses in their longing for resilience and freedom through sustainable investments”.
This strategic funding not only underscores the ongoing commitment of GGF and Bank Lviv to Ukraine's green and sustainable development but also highlights the vital role of partnerships in navigating and overcoming the challenges posed by the current geopolitical landscape.
About the GGF
The Green for Growth Fund invests in measures designed to cut energy use and CO2 emissions and improve resource efficiency in 19 markets across Southeast Europe, the Caucasus, Ukraine, Moldova, the Middle East and North Africa. The Fund provides such financing directly to renewable energy projects, corporates and municipalities or indirectly via selected financial institutions. The GGF’s Technical Assistance Facility maximizes the fund’s investment impact through support for capacity building at local financial institutions and partners.
The GGF was initiated as a public-private partnership in December 2009 by Germany’s KfW Development Bank and the European Investment Bank, with financial support from the European Commission, the German Federal Ministry for Economic Cooperation and Development, the European Bank for Reconstruction and Development, and the Austrian Development Bank (OeEB). The fund’s growing investor base comprises donor agencies, international financial institutions, and institutional private investors, including the International Finance Corporation, the Dutch development bank FMO, and the German ethical bank GLS. The GGF is advised by Finance in Motion GmbH. MACS Energy & Water GmbH, Frankfurt am Main acts as the technical advisor.
For more information on the Green for Growth Fund, see www.ggf.lu and follow us on X @GreenGrowthFund.
About Bank Lviv
Bank Lviv is headquartered in Lviv, fully internationally owned and is one of the fastest growing banks in the country. Bank Lviv has provided reliable banking services to businesses and private individuals in the West of Ukraine since 1990. We are building a new banking culture on a foundation of transparent relationships and common objectives.
For more information, please visit us at: https://banklviv.com/
You can also follow us on LinkedIn and Facebook
About Finance in Motion
Finance in Motion is a global impact asset manager focused exclusively on sustainable development in emerging markets and developing economies. The company structures, manages, and advises impact investment funds that bring together public and private investors to address climate change, strengthen biodiversity conservation, foster the sustainable use of natural resources, improve livelihoods, and promote economic opportunities.
For more information, please visit us at: www.finance-in-motion.com
You can also follow us on X @financeinmotion and LinkedIn
Media contact GGF
Louise Daruwalla-Nielsen
Marketing & Communications
Phone: +352 691 336 439
Email: press@ggf.lu
Media contact Bank Lviv
Anna-Maria Romanchuk
Head of Marketing
Phone: +38 063 073 8138
mail: marketing@banklviv.com