SuperMagnit: investing in the future thanks to subsidised EU4Business loan

Ukraine
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SuperMagnit LLC is a Ukrainian company producing souvenirs for the tourist market since 2006. It started with just a few employees, but has considerably developed in recent years.

The company recently took out a loan as part of the joint programme of the German-Ukrainian Fund and Kyiv City State Administration for the compensation of interest rates on Kyiv SMEs’ loans, implemented with the financial support of the German government through the German KfW Development and Bank and the European Union within the framework of the EU4Business initiative.

The loan allowed the company to purchase new high-tech equipment – “This will allow us to increase our production capabilities, to be represented on the market on a larger scale,” said SuperMagnit director Dmytro Olyanishyn, adding the fact that the interest rate was subsidised had been decisive in deciding to take the loan.

Loans under the programme have the lowest interest rate in Ukraine. “Today all Kyiv entrepreneurs have the opportunity to receive financial and credit support at a rate of 7.5-10% per annum,” said Andriy Melnichuk, head of Kyiv City Administration’s Department of Industry and Entrepreneurship Development.

Valeriy Mayboroda, acting head of the German Ukrainian Fund, said the programme was slowly but surely gaining momentum, supporting the investment projects of Ukrainian SMEs.

“Such projects make a significant contribution to the development and stability of the national economy,” he said, adding they would continue to provide support for SMEs, not only in Kyiv, but throughout Ukraine, where the GUF and EU4Business are working to expand the programme of subsidised loans.