Ukraine to extend '5-7-9' preferential loans to large businesses and expand war risk insurance

Ukraine plans to broaden its war risk insurance plans and extend the 5-7-9 preferential lending program to assist large businesses, according to parliamentary committee chairman Danylo Hetmantsev. The announcement came on August 10 after talks with financial regulators and ministry officials. Hetmantsev highlighted the need to make the insurance program affordable, with modest premiums backed by state subsidies.

He expressed confidence that the decision will be finalized, leading to an expanded war risk insurance scheme. Regarding the 5-7-9 program, Hetmantsev explained that it aims to address domestic credit system shortcomings caused by past regulatory mistakes. The program's expansion to include medium and large enterprises will help alleviate the financing crisis faced by Ukrainian companies.

The National Bank has also committed to resolving the ongoing foreign currency earnings problem soon. The high-level meeting, attended by over 200 participants, revealed a pervasive sense of hopelessness among business leaders due to multiple crises, including attacks on energy infrastructure, fuel shortages, disrupted shipping routes, and supply-chain failures.

Hetmantsev warned that the situation is worsening, with deliberate enemy strikes targeting key enterprises to cripple vital supply chains and jobs. He emphasized that these state interventions are not corporate lobbying, but rather crucial measures to maintain essential macroeconomic functions like food security, communication networks, and logistics.

Critics were reminded that the focus remains on preserving these vital services and the thousands of jobs they support.