EIF and EIFO Sign First Deal Under EU’s Ukraine Export Credit Facility to Boost EU-Ukraine Trade

EIF and EIFO Sign First Deal Under EU’s Ukraine Export Credit Facility to Boost EU-Ukraine Trade

(IN BRIEF) The EIF and EIFO have signed the first deal under the EU’s Ukraine export credit guarantee facility, which supports European businesses exporting to Ukraine. The facility, offering up to €20 million in guarantees, aims to enhance trade between the EU and Ukraine, contributing to Ukraine’s recovery and its eventual integration into the EU. The first deal, benefiting Danish SMEs, marks a significant step in strengthening economic ties between the two regions.

(PRESS RELEASE) LUXEMBOURG/BRUSSELS/COPENHAGEN, 5-Jun-2025 — /EuropaWire/ — The European Investment Fund (EIF) and the Danish export credit agency EIFO have signed the first agreement under the EU’s new Ukraine export credit guarantee facility. This pioneering initiative aims to support European businesses in strengthening trade ties with Ukraine, fostering economic integration as part of Ukraine’s EU accession process.

The new facility makes available up to €20 million for export credit transactions, benefiting Danish SMEs and mid-caps exporting essential goods, technologies, and services to Ukraine. These goods include machinery, clean energy solutions, and pharmaceuticals, all of which play a critical role in sustaining Ukraine’s economy and enhancing its capacity for recovery. The EIF guarantee will support up to 40 Danish companies involved in exports to Ukraine.

This agreement is the first of 13 similar agreements being prepared across EU member states, under a joint effort involving the European Investment Bank (EIB) Group, the European Commission, and national export credit agencies. The facility, which aims to provide €300 million in guarantees for European SMEs and mid-caps, was oversubscribed within weeks of its launch in July 2024.

Nadia Calviño, President of the EIB Group, stated, “This first export credit agreement highlights the European Union’s commitment to a strong Ukraine within the EU family. Ensuring secure trade between the EU and Ukraine is vital for sustaining Ukraine’s economy and will deepen bilateral ties as Ukraine moves closer to EU membership.”

Valdis Dombrovskis, European Commissioner for Economy and Productivity, noted, “This €20 million agreement between EIFO and EIF is a key step forward in further integrating EU and Ukrainian economies. It not only supports European businesses but also contributes significantly to Ukraine’s recovery and its eventual EU accession.”

Marjut Falkstedt, EIF Chief Executive, added, “The swift rollout of this facility reflects its potential to boost EU SME export activity and support Ukraine’s resilience. EIFO’s collaboration was instrumental in making this first deal possible. As we extend this facility to other EU countries, its impact will be amplified, benefitting businesses across Europe and Ukraine.”

Peder Lundquist, CEO of EIFO, remarked, “This agreement sends a strong signal that Denmark stands behind Ukraine and its reconstruction efforts. With this partnership, we are contributing to Ukraine’s recovery and future prosperity. EIFO has already financed 18 projects in Ukraine, and we are ready to scale up further.”

Ukraine’s First Deputy Prime Minister and Minister of Economy, Yulia Svyrydenko, emphasized, “Exports from the EU to Ukraine reached €42.8 billion in 2024, showing the stability and importance of Ukraine as a market. The Export Credit Guarantee Facility mitigates risks for European companies, bolstering trade and contributing to Ukraine’s economic growth and its integration into the EU single market.”

Morten Bødskov, Denmark’s Minister for Industry, Business and Financial Affairs, added, “Danish businesses have long played a pivotal role in Ukraine’s rebuilding, and this initiative will strengthen that partnership. It will provide solid support for Danish companies eager to expand their presence in Ukraine while helping Ukrainian businesses grow.”

Background information

The European Investment Fund (EIF): The EIF is part of the EIB Group. It supports Europe’s SMEs by improving their access to finance through a wide range of selected financial intermediaries. The EIF designs, promotes and implements equity and debt financing instruments targeting SMEs. In this role, EIF fosters EU objectives in support of entrepreneurship, growth, innovation, research and development, the green and digital transitions and employment.

The InvestEU programme provides the European Union with crucial long-term funding by leveraging substantial private and public funds in support of a sustainable recovery. It also helps mobilise private investments for EU policy priorities, such as the European Green Deal and the digital transition. The InvestEU programme brings together under one roof the multitude of EU financial instruments currently available to support investment in the European Union, making funding for investment projects in Europe simpler, more efficient and more flexible. The programme consists of three components: the InvestEU Fund, the InvestEU Advisory Hub, and the InvestEU Portal. The InvestEU Fund is implemented through financial partners who will invest in projects using the EU budget guarantee of €26.2 billion. With the InvestEU mandate, European institutions – led by European Commission and EIB Group – aim to mobilise more than EUR 372 billion of public and private investments to finance sustainable investment, innovation and job creation throughout Europe over the period 2021-2027.

EIFO is the national promotional bank and export credit agency of Denmark combined in one financial institution. Active in over 100 countries, and with a total business volume of more than EUR 20 billion, EIFO provides financial solutions for Danish companies and their global partners, while also investing in startups and funds. We exist to open doors for Danish global business, accelerate the green transition, promote new technologies and develop the Danish defence industry. With our willingness to take risks in financing, EIFO paves the way for those who dare to think bigger.

Media Contacts:

EIB Group: 
Tim Smit | +352 691 28 64 23 | t.smit@eib.org

European Commission: 
Quentin Cortes | Quentin.cortes@ec.europa.eu

EIFO:     
Ina Bjerregaard-Castenborg| +(45) 20 65 21 14 | ibc@eifo.dk

EC Representation in Denmark: 
Christina Holm-Eiberg | Christina.HOLM-EIBERG@ec.europa.eu

SOURCE: European Investment Fund