Resolution Approves Two Key Procedures for Providing Financial Support to Defense-Industrial Complex Enterprises through Credit Subsidization Mechanism.
Support is provided to enterprises identified by the Ministry of Strategic Industries as critically important for economic functioning during a special period. Maximum loan amount is up to 500 million UAH for investment purposes and up to 100 million UAH for working capital. Loan term is up to 5 years for investments and up to 3 years for working capital.
The support mechanism involves interest rate compensation to the level of 5% per annum through the Entrepreneurship Development Fund. The base loan rate cannot exceed UIRD+5% and 23% per annum. Funds are provided through authorized banks that meet established criteria.
Key Provisions:
– Loans are issued for purposes related to development, manufacturing, and repair of weapons
– The enterprise must be defined as critically important at the time of loan agreement signing
– Interest compensation is carried out monthly through escrow accounts
– Possibility of combining with other types of state support is provided
– Clear criteria for authorized banks and mechanisms for monitoring targeted use of funds are established
