Economy

IFC may share risk with OTP Bank on EUR 100 mln loan portfolio

IFC may share risk with OTP Bank on EUR 100 mln loan portfolio

International Finance Corporation (IFC) is considering the possibility of assuming up to 50% of the risk on a portfolio of loans and other credit instruments of OTP Bank worth up to EUR 100 million for small and medium-sized enterprises (SMEs) and larger companies in Ukraine.

As noted in the corporation’s materials, the IFC board of directors plans to consider the project on July 20, 2026.

The project is part of the Economic Resilience Action (ERA) program for Ukraine and provides for the creation of an unfunded risk-sharing mechanism.

At least 60% of the portfolio is planned to be directed to projects in the field of renewable energy, energy efficiency, and climate-smart agriculture, as well as lending to specific business categories with insufficient access to finance.

Among such borrowers are agricultural enterprises, women-owned companies, as well as enterprises managed by young people or veterans, or those that employ them.

At the same time, at least 50% of the entire portfolio must be allocated to renewable energy, energy efficiency, and climate-smart agriculture.

IFC also plans to provide OTP Bank with advisory support for the development of sustainable finance, including climate change mitigation and adaptation projects. A separate advisory project should help the bank increase lending to these business categories.

Since June 1, 2006, OTP Bank has been a 100% subsidiary of the Hungarian OTP Bank Plc. According to data from the National Bank of Ukraine, as of May 1, 2026, with total assets of UAH 142.23 billion, OTP Bank ranked tenth among 58 operating banks in Ukraine.

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