As part of the preferential mortgage lending program “Housing for Internally Displaced Persons,” 1,053 loans have already been granted in Ukraine. This initiative is funded by grants provided by the German government and has allowed many displaced persons to take a significant step towards securing their own housing.
This is reported by Finway
Mortgage Lending Conditions for IDPs
The program, implemented through the KfW Development Bank, is aimed at citizens who have lost or been forced to leave their homes due to the war. The main advantage of the loans is a fixed interest rate of 3% per annum with a repayment period of up to 30 years, making housing acquisition more accessible for internally displaced persons.
“The total amount of funding from the German government was €42.5 million – the grant has been fully utilized,” noted the Ministry of Community and Territorial Development.
Further Development of the Program and New Funding
In May 2025, the Ukrainian government signed a new agreement with the Council of Europe Development Bank for €50 million. This funding will allow the program to continue and provide approximately 1,100 internally displaced families with the opportunity to acquire their own housing under preferential conditions. Thus, support from European partners remains crucial for addressing the housing issues faced by IDPs affected by the war.