The European Bank for Reconstruction and Development (EBRD) is promoting the development of Ukraine’s grain logistics through raising the capacity of the nation’s inland waterways and the construction of new relevant infrastructure.
The Bank has decided to allocate a $50 million loan to Nibulon Group, one of the most prolific Ukrainian grain exporters, UNIAN reports. The loan is expected to enhance logistical solutions, facilitate greater volumes of cargo transportation by inland waterways up to 4 million tons yearly and raise its grain exports to 8 million tons annually, the report published on the institution’s website reads.
The funding is going to be structured as an A-loan of up to $40 million for the Bank’s own account and a B-loan of up to $10 million, which is supposed to be syndicated to commercial banks. The new loan will go towards Nibulon’s large-scale 3-year investment plan.
The plan, among other things, provides for the construction of three new grain river terminals, the expansion of Nibulon’s fleet including new floating transshipment crane, tugboats, barges and a self-propelled dredging vessel, and the construction of a 42,000-ton storage facility, a barge quay and a new railway at its Mykolaiv seaport terminal.
The European Bank for Reconstruction and Development is the largest international financial investor operating in Ukraine. As of today, the institution has committed almost €12.1 billion to a total of over 400 projects since it began operating in the country in 1993.