Prime Minister Denis Shmyhal chaired an interagency meeting on implementing the state program “Affordable Loans 5-7-9%”.

At the Ministry of Reintegration initiative, the state program “Affordable Loans 5-7-9%” was also launched for entrepreneurs from the territories of possible hostilities and de-occupied regions. This should stimulate economic revival and employment of residents and internationally displaced persons.

Thus, since the beginning of 2023, banks have issued 10,000 loans worth UAH 36 billion to businesses, and since the start of the program, 63,000 loans worth UAH 203 billion have already been issued.

However, as of today, several problematic issues may hinder the implementation of this program, in particular:

• delayed payments of compensation to banking institutions for interest on loans from the state;
• business entities are denied because the territories of possible hostilities and de-occupied regions are in the high-risk zone;
• banks refusing to lend due to the lack of collateral held by business entities;
• business entities are unable to fully fulfill their previously assumed obligations under existing loan agreements, as most business entities have lost access to their enterprises due to military aggression and long-term temporary occupation and are unable to fully operate and fulfill their previously assumed loan obligations;
• the difficulty in providing the documents required for lending, in particular, due to their destruction or loss.

During the meeting, Deputy Prime Minister Iryna Vereshchuk voiced suggestions for improving the program:

• reduce the interest rate for business entities in the de-occupied territories and extend the repayment period for loans received under the “Affordable Loans 5-7-9%” program;
• provide loans to companies that are in arrears on previously received loans, and cancel collateral as a condition for lending.

As a result of the meeting, the Prime Minister issued relevant instructions to improve the work of the Program of Affordable Loans for Businesses in the de-occupied territories as soon as possible.