US Ex-Im Bank and the State Export-Import Bank of Ukraine (Ukreximbank) have signed a memorandum of understanding (MOU) that will help facilitate financing of US exports to Ukraine.
Viktor Kapustin, Ukreximbank’s chairman of the board and Peter Saba, US Ex-Im’s chief operating officer and general counsel, signed the agreement.
“We consider the United States as a strategic partner in all fields, including economics,” Kapustin claimed, “and this memorandum is the first step to facilitate the deepening of our cooperation for the benefit of businesses of both nations.”
“Ukraine is an important partner of the United States”, added Saba, “and we believe that its future holds significant promise for growth and investment.”
Under the agreement, Ex-Im and Ukreximbank intend to work together to establish a credit guarantee facility of up to US$50mn with Ukreximbank as obligor, under which Ukreximbank would make credits available to Ukrainian purchasers of US goods and service exports.
As of the end of fiscal year 2004, Ex-Im Bank’s outstanding loans, guarantees, and insurance commitments involving exports to Ukraine totaled just under US$180mn.
The MOU also encourages joint exchanges of information in an effort to facilitate transactions involving US exports to Ukraine.
In a joint statement issued by presidents Bush and Yushchenko after a meeting, Bush said: “As Ukraine undertakes far-reaching reform at home, it can count on the United States for support. We applaud Ukraine’s commitment to curb corruption, promote the rule of law and improve the business climate.”
Ukreximbank, as state bank, promotes economic development of Ukraine, gives credit and financial support for development of foreign trade relations, restructuring and development of export-oriented and import substitution sectors of the economy.
Ukreximbank is one of the speakers at Exporta’s (GTR’s publisher) upcoming event in Kiev, Ukraine on June 6: Ukraine Trade & Export Finance Forum 2005. For information, email email@example.com or visit