Ukraine has obtained an international finance package of €157m to support private wind power development in the country and strengthen its energy security.
The funding is provided by the European Bank for Reconstruction and Development (EBRD), the International Finance Corporation (IFC), and the Black Sea Trade and Development Bank (BSTDB), with additional backing from the European Union (EU), the UK, and the Climate Investment Funds’ Clean Technology Fund (CTF).
According to an IFC statement, the financing will support the construction and operation of wind power plants with a combined capacity of 147MW. The development will generate at least 380 GWh of electricity annually and reduce carbon dioxide emissions by approximately 245,000 tonnes per year.
The initiative is said to be among the first private greenfield power projects in Ukraine since 2022. The EBRD and IFC are each providing €60m in loans, while BSTDB is contributing €37m. The project’s total estimated cost is €225m, excluding VAT, with the remaining amount funded by equity from project sponsor GNG Group, also known as OKKO Group in Ukraine. The loans will be allocated to Wind Power GSI Volyn and Wind Power GSI Volyn 3, which are special purpose entities established for the project.
The EBRD’s investment is backed by EU financial guarantees under the Ukraine Investment Framework’s Hi-Bar guarantee programme, which supports climate mitigation projects in the energy sector.
The IFC and BSTDB loans are also supported by EU guarantees under the IFC’s Better Futures Programme: RE-Ukraine. Additionally, the UK’s Foreign, Commonwealth & Development Office has provided a €4.5m grant to support loan mobilisation. The IFC’s financing package includes €10m in debt funding from the CTF.
IFC Europe regional director Ines Rocha said: “This project will ensure that people can keep the lights on, stay warm and connected – therefore marking a significant milestone in Ukraine’s recovery. While paving the way for a more resilient Ukraine, this transaction also sends a clear signal about the country’s readiness for private investment and ability to meet the challenges of tomorrow.”
