The state-owned Oschadbank has opened a multi-currency revolving credit line with a limit of $10 million for one of the Ukrainian companies that is part of a multinational agro-industrial group listed in the Fortune Global 500. These funds will be directed towards ensuring working capital, purchasing raw materials, and maintaining stable operation of production facilities in Ukraine.
This is reported by Finway
Importance of support for the agricultural sector
The name of the Ukrainian company and its international parent corporation is not disclosed for security reasons and due to military risks. However, it is known that this concerns a major agro-industrial player that has a significant impact on the development of Ukraine’s processing industry and is also actively operating in the domestic market.
The credit line is of a revolving nature. This means that the company will be able to repeatedly use the borrowed funds within the established limit to cover current financial needs. Such an instrument is particularly relevant for the agricultural and processing sectors, as financing needs depend on the seasonality of raw material purchases and production processes.
Partnership with international corporations and impact on the economy
As emphasized by the director of the corporate business department of Oschadbank, Serhiy Chernikov, even during the full-scale war, cooperation with international corporations remains a strategic direction for the bank. Oschadbank plans to develop partnership relations, particularly in the area of complex financial solutions and support for export-import operations.
“The activities of such international companies are of great importance for the Ukrainian economy. Despite the military risks, they continue to support production, preserve jobs, ensure export deliveries, and invest in the development of enterprises in Ukraine. In the bank’s opinion, this is an important signal for foreign investors regarding the preservation of long-term business prospects in the country.”
In the subsidiary of the multinational corporation, it was noted that this is the first experience of cooperation between the company and a state bank in Ukraine. For the enterprise, it is important to have a financial partner who understands the specifics of the agro-industrial sector and can respond quickly to the financial requests of the business.
The company’s management believes that thanks to the new credit line, it will be possible to diversify funding sources, increase flexibility, and effectively respond to seasonal fluctuations in the demand for working capital. This will ensure the continuity of production operations and the fulfillment of contractual obligations to suppliers and customers.
Oschadbank emphasized that this agreement aligns with the strategy of supporting corporate clients with sustainable business models that continue to operate in Ukraine, invest in industry, and maintain economic activity even in wartime. Financing international companies strengthens the country’s export potential and contributes to the stability of the national economy.