The European Bank for Reconstruction and Development (EBRD) is lending up to €20 million to OTP Leasing in Ukraine to help businesses hit by the war. The local currency loan will expand access to leasing products for micro, small, and medium-sized enterprises at a time when cash is tight and the economic outlook uncertain, the EBRD said in a statement. Half the money will go toward long-term investments in EU-compliant and green technologies.
OTP Leasing is Ukraine’s leading leasing company, providing financial leases and fleet management services to corporate clients and smaller businesses across the country. It’s a subsidiary of OTP Bank, a regional financial group based in Hungary. The loan will let OTP Leasing meet strong local demand, allowing businesses to get vehicles, equipment, and machinery without huge upfront costs—something that matters when war-related disruptions have squeezed liquidity.
Businesses that complete their investment projects will also get technical assistance funded by the European Union and investment incentives from the United States under the EU4Business initiative. Greater incentives will go to war-affected and vulnerable groups, including businesses that lost assets or saw them destroyed, companies reintegrating war veterans, internally displaced people and returnees, people with disabilities, and businesses relocated from or operating in war zones. Women-led and youth-led enterprises will benefit too.
The loan comes with an interest-rate subsidy of up to 10 percent from the United States through the EBRD SME Special Fund. That brings down borrowing costs for businesses trying to stay afloat and invest in growth despite the ongoing conflict.
OTP Leasing is an existing EBRD client. Since Russia launched its full-scale invasion in 2022, the EBRD has deployed more than €9.1 billion in Ukraine, including €3.3 billion through partner financial institutions. The bank is working to strengthen the competitiveness, resilience, and inclusiveness of Ukrainian businesses by keeping credit flowing and supporting investments that help the economy function under wartime conditions.
