30 June 2020, the United Nations Industrial Development Organization (UNIDO) and Public Joint-Stock Company Joint Stock Bank “UKRGASBANK” have signed a contract that will enable the launch and operation of a USD 1.5 Million Loan Guarantee Fund as special financial mechanism within the framework of the UNIDO-GEF Project “Introduction of Energy Management System Standard in Ukrainian Industry”.

Supported by national stakeholders, and cross-guaranteed by Citibank Europe PLC, the Loan Guarantee Fund is foremost aimed to facilitate industrial companies with getting access to capital for implementation of energy management systems in line with ISO 50001 and other energy efficiency measures. The Loan Guarantee Fund is the first and one of the kind guarantee based financial mechanism launched by a UN agency with a selected financial partner in Ukraine.

The Loan Guarantee Fund is expected to play an important role in boosting activities and further development of Ukraine’s market for industrial energy efficiency. UNIDO believes that is especially important to have such a financial instrument available for Ukrainian industries during these trying COVID-19 recovery times, to support them with additional resources that can be dedicated to improve assets optimization and bottom-line performance through energy efficiency, and ultimately help restore and strengthen business competitiveness.