MSMEs: a grant of up to EUR 30,000 alongside an investment loan

The ‘Access to Finance and Resilience Support for MSMEs in Ukraine’ programme provides financing for Ukrainian enterprises that are implementing investment initiatives. The project is funded by the German Government through Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) in partnership with the German Sparkassenstiftung für Internationale Kooperation (DSIK) and the Business Development Fund (BDF).

Financial assistance combines a commercial bank investment loan with direct grant support. Standard enterprises can receive grant compensation of up to 20% of the investment project value capped at EUR 20,000, while relocated enterprises are eligible for up to 30% capped at EUR 30,000. The total investment project cost cannot exceed EUR 240,000 excluding VAT.

The donor text does not specify a strict submission deadline, indicating that applications are processed on an ongoing basis through partner financial institutions. Support is designated specifically for micro, small, and medium-sized legal entities operating across Ukraine.

What is funded

The initiative finances investment projects aimed at purchasing, modernising, or reconstructing fixed assets for Ukrainian enterprises. Financing is structured as an investment loan accompanied by grant funding that can be used to cover ongoing operational costs or to repay a portion of the loan early.

Alongside equipment and capital investments, the programme allows working capital funding of up to 100% within the subsidised investment project. There are no restrictions regarding specific sectors or types of economic activity, allowing enterprises across various industries to participate.

In addition to financial resources, the initiative provides advisory and capacity-building assistance. Beneficiaries can access professional management consultancy covering export development, operational efficiency, digital transformation, energy conservation, and relocation strategy.

Who can apply

Eligibility is open to micro, small, and medium-sized enterprises registered in Ukraine as legal entities. Sole proprietors (individual entrepreneurs or FOPs) are not eligible for financing under the current phase of the programme.

Qualifying micro-enterprises must employ up to 20 staff with annual revenues up to EUR 2 million. Small businesses must have up to 50 employees and up to EUR 5 million in revenue, while medium-sized enterprises must maintain up to 250 staff and an annual turnover not exceeding EUR 10 million.

Special conditions apply to relocated businesses that have had to move their operations due to the war. For these companies, the grant compensation percentage is increased to 30% of the eligible investment volume.

Conditions and requirements

The investment loan is issued through participating commercial partner banks, specifically Oschadbank and Bank Lviv. The minimum loan duration is set at one year, with interest rates offered at the prevailing average market level in Ukraine.

Grant funds are disbursed in the Ukrainian national currency (UAH) calculated at the official National Bank of Ukraine exchange rate. The grant is not paid out in advance; the borrower must first secure the loan, execute the planned investment project, and provide verifiable proof of targeted fund usage.

Practical tip. Prepare thorough documentation confirming the targeted expenditure of the loan upfront, as the grant disbursement directly depends on the partner bank and the Business Development Fund verifying that all assets were purchased and deployed strictly according to the approved investment project.

How to apply

To initiate the process, the enterprise must apply directly to one of the partner banks, Oschadbank or Bank Lviv. The selected bank conducts an eligibility assessment, reviews the business proposal, and issues the investment loan upon credit approval.

After the loan is issued and the enterprise completes the capital investments, it must present proof of targeted fund utilisation to the bank. The bank then compiles a register of compliant borrowers and submits it to the Business Development Fund for review.

Following BDF verification, the registry is submitted to the German Sparkassenstiftung for final authorisation. Once approved, the German Sparkassenstiftung transfers the grant payment directly to the enterprise.

Applications are submitted on the donor’s page: mmsp.bdf.gov.ua.