For Immediate Release
Press Release
USAID has launched a new program to foster additional economic growth in Ukraine by expanding access to urgently needed finance among small and medium Ukrainian businesses. Through a partnership with the World Council of Credit Unions, USAID will expand its support to credit unions in Ukraine, enabling them to provide more lending to firms and individual entrepreneurs through an initial $5 million investment in the new GROW Project, a four-year initiative that begins operation this month.
The GROW Project will expand access to finance through credit unions for individuals seeking to start a business and for existing businesses looking to expand their operations, including micro, medium and small enterprises, cooperatives, and farms in rural areas of the country. To maximize the impact of USAID funds, GROW will increase access to financing for a range of potential borrowers; improve the enabling environment for credit union operations; expand the capacity of credit unions to provide and promote their financial services; and, address the specific challenges of women and other vulnerable populations in securing financing for business development.
The project will work closely with credit unions in Ukraine to develop processes, products, and partnerships that maximize credit union reach and positively impact local communities and economies. GROW will also support Ukraine’s long-term priority for further integration and accession into the European Union (EU). As the regulatory environment governing credit unions shifts to align with the EU, GROW will work to help the credit unions adapt and thrive.
Over the course of the full-scale invasion, the impact of Russia’s relentless attacks have rippled throughout Ukraine’s economy—disrupting Ukraine’s grain exports, damaging energy infrastructure, and reducing Ukraine’s tax revenues. Ukrainian innovation and perseverance continue to strengthen economic resilience, but further economic recovery is critical for Ukraine to secure its independence, freedom, and a European future.