Ukrainian defense industry receives over UAH 6.6 billion in concessional loans – Ministry of Defense
Enterprises of Ukraine’s defense-industrial complex (DIC) have received 108 concessional loans totaling UAH 6.665 billion under the state program to support arms manufacturers implemented by the Ministry of Defense. Another 81 applications worth UAH 6.320 billion are currently under review.
This was reported by the Ministry of Defense, Censor.NET informs.
The funds are allocated for the full production cycle, from development and manufacturing to repair and modernization of equipment, ammunition and their components.
Enterprises effectively pay only 5% annually
According to Hanna Hvozdiar, adviser to the Minister of Defense of Ukraine, concessional lending has become a tool for rapidly scaling up defense production.
"We are creating conditions under which Ukrainian manufacturers can plan development and invest in modernization without critical financial pressure," she emphasized.
The base interest rate set by banks may not exceed 23% per annum. The state compensates the difference between the market rate and the concessional rate, meaning enterprises effectively pay only 5% annually.
In addition, the possibility of attracting state guarantees in accordance with government decisions is provided for.
Who can participate in the program
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The program is open to enterprises designated as critically important for the functioning of the economy during a special period in the defense-industrial sector.
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Financing is provided under a program introduced in 2024 to scale up the production of weapons and military equipment and to modernize production capacities.
