Supporting SME finance in Ukraine: MSME Platform Plus backs BIO’s first investment in the country

EU-backed guarantee enables BIO’s EUR 3 million loan to Bank Lviv, strengthening access to finance for local businesses amid the war

BRUSSELS, Belgium – 14 July 2026 – EDFI Management Company (EDFI MC), through the EDFI MSME Platform Plus guarantee programme under the European Fund for Sustainable Development Plus (EFSD+), is supporting BIO Invest’s EUR 3 million senior loan to Bank Lviv, a Ukrainian bank specialised in serving small and medium-sized enterprises.

The transaction marks BIO’s first investment in Ukraine. The MSME Platform Plus guarantee helps de-risk the loan in a country facing exceptional challenges following Russia’s full-scale invasion in February 2022, enabling BIO to provide financing that would otherwise be difficult to support under its risk parameters.

Founded in 1991, Bank Lviv operates in western Ukraine across five regions: Lviv, Ivano-Frankivsk, Ternopil, Volyn and Rivne. The bank serves around 49,000 customers through 19 branches, with a focus on SMEs active in sectors including trade, food processing, industry and agriculture. Its tailored SME products, close customer relationships and digital offering allow it to respond quickly to the needs of local businesses.

BIO’s loan will support the expansion of Bank Lviv’s SME portfolio, contributing to financial inclusion and access to finance for businesses that remain essential to jobs, production and Ukraine’s economic fabric. The transaction also responds to the limited availability of attractive hard-currency funding for banks in Ukraine, supporting expected growth in foreign-currency lending.

Bank Lviv has demonstrated resilience in a highly challenging environment. Despite the impact of the war on asset quality in 2022, the bank returned to stronger performance in 2023 and remained profitable for a fifth consecutive year, with profitability driven by its SME segment.

The transaction aligns with the objectives of the EDFI MSME Platform Plus and EFSD+ by targeting MSMEs in a conflict-affected fragile country. The programme is designed to de-risk European DFI investments in local financial intermediaries and boost their capacity to lend to underserved MSMEs.

Through this transaction, BIO expects to play a catalytic role by demonstrating continued DFI and impact investor support for Ukrainian financial institutions that finance SMEs. The MSME Platform Plus guarantee allows the investment to materialise on terms that preserve its viability and development impact.

About EDFI Management Company
EDFI Management Company (EDFI MC) is a multilaterally owned impact asset manager that delivers innovative development finance solutions, enabling European development finance institutions, development banks, and private investors to increase the scale and impact of their investments. EDFI MC focuses on business models, technologies, and geographies where additional risk-sharing and structuring are needed to unlock investment.
More information: www.edfimc.eu

About the MSME Platform

The MSME Platform Plus is an EU‑funded guarantee programme under EFSD+ that helps European development finance institutions and their co‑investors expand lending to local financial institutions serving MSMEs in partner countries. By sharing risk on portfolios of loans, the programme aims to address persistent financing constraints for MSMEs and foster inclusive, job‑rich and sustainable private sector development.

About EFSD+

The European Fund for Sustainable Development Plus (EFSD+) is the financing arm of the EU’s Global Gateway strategy. It provides guarantees and blended finance instruments to support investments that contribute to sustainable development, particularly in fragile and emerging markets.

About Global Gateway

Global Gateway is the European Union’s strategy to boost smart, clean, and secure connections in digital, energy, and transport sectors, and to strengthen health, education, and research systems across the world. It aims to mobilise up to €300 billion in investments between 2021 and 2027 to support sustainable and trusted partnerships globally.

About BIO
BIO is the Belgian development finance institution. Since 2001, it has invested in entrepreneurship across Africa, Latin America, and Asia, supporting businesses, financial institutions, and infrastructure projects that drive sustainable development, economic growth, and decent employment. More information: https://www.bio-invest.be/