During EU-Ukraine summit on April 27th EU announced a new package of aid for Ukrainian small and medium business. The initiative EU SURE (EU Support to Ukraine to Re-launch the Economy) will be implemented in 2016 – 2020 and has €95 million in its budget.
EU SURE: EU Support to Ukraine to Re-launch the Economy
Duration: 2016 – 2020
Budget: €95 million (EU total funding, including a loan guarantee facility worth €40 million)
Implementers: International Technical Assistance, EBRD, EIB
Target groups: MEDT, SMEs and business support organizations.
- EU SURE (€95 million) is part of the €110 package of EU Special Measures for Ukraine 2015 approved in April 2015. This is complemented by a Technical Cooperation Facility worth €15 million to provide advice on legal approximation with the EU, capacity building and infrastructural support in priority areas covered by the EU-Ukraine Association Agreement.
- EU SURE will support the development of the SMEs across the Ukrainian regions and to contribute to the re-launch of the Ukrainian economy to create growth and employment. This also includes the conflict affected areas and neighbouring regions actively participating in the re-integration of internally displaced persons (IDPs).
- At national level EU SURE will provide technical assistance and policy advice to complete the ongoing SMEs deregulation and the national and regional economic development strategies, and to create a web info portal for SMEs; it will also include a contribution to the participation of Ukraine in EU programmes related to private sector development (Horizon 2020).
- At regional level EU SURE will provide business advice and entrepreneurial skills for SMEs, through a network of Business Support Centers (BSC) run in cooperation with EBRD. The BSC will help improve the competitiveness of the SME sector by connecting local small businesses to a network of local consultants and international industry experts. Business advice will be tailored according to the size of the company and the complexity of the challenges. BSC will also advise SMEs on how to access to financing and how to adapt to and benefit from the establishment of the DCFTA between the EU and Ukraine.
- EU SURE will cover at least 15 regions across Ukraine. Targeted economic sectors will depend on the economic profile of the region and activities should aim but not be limited to the following key sectors: agriculture, innovation, improvement of provision of public services and infrastructures, energy efficiency and green economy.
EU SURE will also facilitate the access to finance by exploiting the synergies between the business advice services provided by the Business Support Centers and a complementary Loan Guarantee Facility worth €40 million and run in cooperation with EIB. This loan facility will provide local commercial banks with an effective risk management tool to increase their capacity to absorb increased funding demand from SMEs.