Pivdennyi Bank repays USD 14 million to German government-owned development bank KfW
On 21 October 2016, Pivdennyi Bank has fully repaid USD 14 million in subordinated debt, thus successfully completing a 7-year cooperation project with KfW, a leading German development bank, as part of support to SMEs in Ukraine.
The subordinated loan agreement between Pivdennyi Bank and KfW was signed on 20 October 2009 at our bank’s head office in Odesa. The loan was provided under Ukraine banking sector development program by the German government and KfW.
Alla Vanetsiants, Chair of Pivdennyi Bank Management Board: “This program allowed our bank to extend systemic financing support of the SME segment at the time when Ukraine was struggling to overcome consequences of the global financial crisis which broke out in 2008. Between 2008 and 2013, our bank has successfully implemented hundreds of financing projects, both under this program and under APEX Small and Medium Enterprises Lending Program, with the financial support from KfW. During this time, our credit portfolio in the SME segment has grown substantially, thanks, to a large degree, to KfW: besides funding, we were receiving regular technical assistance from experts in product development and personnel training”.
The fulfillment of one’s obligations to partners is the key condition in business. And this rule has always worked for Pivdennyi Bank, even in the most difficult times.
Pivdennyi Bank was founded in 1993. Today, this financial institution is ranked among the top five Ukrainian banks, with the share of assets exceeding 0.5% of the banking system’s assets. Presently, the bank’s regional network is comprised of over 120 branches across Ukraine. The bank employs over 2300 persons. Pivdennyi Bank’s major shareholders include: Yuriy Rodin, Mark Becker, Alla Vanetsiants.
KfW is one of the world’s leading and most experienced development banks. Founded in 1948 as a public law institution, 80% of KfW is owned by the German federal government and 20% by the States of Germany.
KfW is a leading German development bank forming part of KfW banking group. Acting on behalf of the federal government, KfW implements Germany’ financial cooperation with developing countries. 600 employees at the head office and 370 specialists at 68 local offices do business with partners all over the world. KfW’s mission is to overcome poverty, provide security, preserve the environment and climate, and facilitate fair globalization. Also, KfW is a competent and strategic advisor on development matters.
Currently, KfW has invested almost EUR 700 million in Ukraine, mostly in energy efficiency projects, banking sector, social and municipal infrastructure. For additional information, visit the bank’s website at: www.kfw.de