EBRD supports development of cargo transportation in Ukraine
EBRD, Kyiv, Ukraine,
Thu, Dec 20, 2018
The new trucks will be compliant with EURO-6 emission standards
- Five-year senior loan of €2.6 million
- Acquisition of new trucks and trailers with advanced GPS system
- Project to benefit from EU4Business and FINTECC grants
Industrial customers across Ukraine and the European Union (EU) will have access to a wider range of oversized cargo transport services following an EBRD-supported upgrade to the transport fleet of haulier Negabarit-Service LLC.
A five-year senior loan of €2.6 million will be provided to the company, which is a leader in the oversized and complex auto cargo transportation market in Ukraine and is located in the west of the country near the EU border. The loan will help finance the company’s investment programme for the acquisition of up to 42 trucks equipped with advanced GPS systems and 18 trailers.
The new trucks will reduce Negabarit-Service’s operating costs by at least 30 per cent thanks to a reduction in fuel consumption and maintenance expenditure. The new vehicles will be compliant with EURO-6 or higher emissions standards, which will help reduce nitrogen oxide (NOx) emissions by 80 per cent and carbon oxide (CO) by 22 per cent.
The loan will be supported by an up to €100,000 EU4Business grant provided by the EU and a US$ 452,400 incentive grant from the EBRD FINTECC programme, designed to implement new technologies in the area of climate change mitigation and adaptation, which was launched in Ukraine in February 2016.
Previously, the EBRD helped Negabarit-Service LLC improve its internal and external reporting systems through its advisory programme for small and medium-sized enterprises. The project was supported under the EU4Business initiative.
The EBRD is the largest international financial investor in Ukraine. Since the start of its operations in the country in 1993, the Bank has made a cumulative commitment of almost €12.1 billion across some 400 projects in Ukraine.