United to win: Denmark opens special fund to invest in Ukraine
Denmark has launched a special investment fund for Ukraine for a total of 1 billion Danish kroner, which is approximately $133 million.
The press service of the Ministry of Economy of Ukraine reported this.
What is the problem?
President Volodymyr Zelensky reported that Ukraine requires upwards of 400 billion dollars to restore the damage inflicted by the war initiated by Russia.
What is the solution?
As noted, the launch of the social program was announced during the Ukrainian Investment Forum in Copenhagen.
"Denmark is one of the leaders in financial aid to Ukraine. Since the beginning of the full-scale war, the total military support amounted to $1.4 billion, and the total humanitarian aid, including macro-financial aid – $212 million. The Government of Ukraine values Denmark's support and expects to deepen bilateral cooperation and further involvement of Danish businesses in projects to reconstruct Ukraine. Thus, a special investment fund created for Ukraine will finance projects involving the best Danish technologies and innovative solutions and will be available to both the public and private sectors," said Economy Minister Yulia Svyrydenko
Subsequently, the Deputy Minister for Economic Affairs, Oleksandr Hryban, highlighted that the key basis for the Ukraine–Denmark partnership is a cooperative interaction when Ukrainian enterprises do not merely draw upon Danish commodities but localize the production of those products within Ukraine.
How does it work?
Thus, within the framework of the forum, the approval of financing for two pilot projects in agriculture and agro-processing was announced.
Nibulon, a company in the southern region adversely affected by the circumstances, will be granted a loan of €25 million, and Agrofusion will be granted a loan of €15 million.
Also, loans will be provided to agricultural companies located near the front line in Mykolaiv, which will restore destroyed production facilities and purchase equipment from Danish exporters.
According to Hryban, the Danish fund will provide financial guarantees and directly lend, which puts it on an individual level among financial institutions that have opened their programs for Ukraine.
Also, the Danish government plans to significantly increase the limits and expand the financial assistance program for Ukraine.
