EBRD may provide Kharkiv with loan of up to EUR 15 mln to support public utilities and transport

The European Bank for Reconstruction and Development (EBRD) has unveiled a loan proposal of up to EUR 15 million to support the liquidity of Kharkiv and its utility operators.

According to the bank, the loan is intended to provide emergency support to the city by financing the liquidity of its utilities to mitigate the impact of the war on Kharkiv's financial situation and ensure the continued provision of basic services to residents, internally displaced persons (IDPs), and businesses.

The following municipal enterprises are expected to receive support within the framework of the project: Kharkiv Metropolitan public utility, Trolleybus Depot No. 2 public utility, the Communal Enterprise Saltiv tram depot, and Kharkiv Heat Networks public utility.

“The Bank's loan is expected to support the key municipal utilities and public transport operators in 2026-2027 by addressing their critical liquidity needs, to ensure uninterrupted provision of essential public services in response to direct damage from the war, additional demand for services due to the presence of a significant number of IDPs and the City's shrinking liquidity,” this is stated in the project description on the financial institution’s website.

Its is noted that in the absence of the Bank's support, given the on-going war and its effects on the local economy and ongoing forced displacement and labour market volatility, there is a high risk of disruption in provision of infrastructure services, which are vital for Kharkiv's economic recovery and the City's private sector.

According to the EBRD, at the beginning of 2026, 212,000 IDPs were officially registered in Kharkiv.

The project is currently in the development stage and is expected to be approved on June 17, 2026.

In total, the EBRD has allocated EUR 2.9 billion in financing to Ukraine in 2025.