EBRD and BII strengthen Ukraine’s food security through $100 million financing for MHP

• EBRD and BII provide US$ 100 million financing package to MHP
• EBRD lends US$ 80 million, while BII lends US$ 20 million, to support sunflower oil production in Ukraine
• Financing will ensure continued food security and exports from Ukraine

To strengthen food security and resilience in wartime Ukraine, the European Bank for Reconstruction and Development (EBRD) is arranging a financing package of up to US$ 100 million for leading Ukrainian agribusiness producer MHP.

The EBRD is lending US$ 80 million to MHP on its own account, while British International Investment (BII), the United Kingdom’s development finance institution and impact investor, is providing the remaining US$ 20 million.

The financing will cover MHP’s working capital needs to maintain uninterrupted sunflower-oil production and exports, a vital component of global food security.

Ukraine is the world’s largest exporter of sunflower oil, and MHP alone accounts for 6 to8 per cent of the country’s total output. The loan proceeds will support the procurement of sunflower seeds from hundreds of Ukrainian farmers, and the seeds will be crushed into edible oil for export to nearly 20 countries.

Food security is one of the EBRD’s five investment priorities in Ukraine, along with energy security, vital infrastructure, trade and the private sector. The EBRD, Ukraine’s largest institutional investor, has made more than €8 billion available to Ukraine in wartime.

By ensuring the continuity of production of MHP’s sunflower oil, the EBRD is supporting uninterrupted access to an essential commodity, safeguarding both the Ukrainian economy and international food supply chains.

In addition to supporting the resilience of food supply chains in Ukraine, the project has a strong impact on human capital. As part of the financing, MHP will establish a state-of-the-art “Autodrome” training academy, designed to train up to 1,800 drivers per year, including women, in line with European Union training and licencing standards.

This training will improve skills and safety for logistics professionals in Ukraine’s agribusiness sector, broaden opportunities for women drivers and provide pathways for the reintegration of veterans into the civilian workforce.