The European Investment Bank will provide Ukraine with 115.5 million euros ($157.5 million) worth of loans that would cover energy efficiency, wastewater treatment and other environmental projects.

Small and medium-sized enterprises in the Eastern European nation will receive the larger bulk of the two-part loan. The bank said 100 million euros will be lent to small and medium businesses through the Ukrainian commercial bank Forum.

The rest of the bank loan, 15.5 million euros, will be awarded specifically to the city of Mykolayiv in Southern Ukraine to rehabilitate and modernize wastewater treatment and water supply facilities.

The investment will include as much energy efficiency and environmental protection projects by mid-cap and public companies.

The loan is the first of its kind under the European Investment Bank’s activities in the Eastern partnership countries which include Ukraine.

City utility Mykolayiv Vodokanal will be the final beneficiary of the loan’s second part.

The loan will help Mykolayiv meet national and international standards while providing over half a million people with safe drinking water and quality wastewater services.

To date, the bank has provided Ukraine with 465.5 million euros in loans. Previous loans have been for the energy sector, receiving 150 million euros, while road projects got 200 million euros.

The European Investment Bank is the European Union’s prime lending institution. It holds its headquarters in Kirchberg, Luxembourg.

-   Jen Balboa