Partners in Resilience: MIGA and ProCredit’s Joint Commitment to Ukraine's Economic Stability

Prior to Russia’s invasion of Ukraine, MIGA had a €17.1 million Capital Optimization guarantee covering ProCredit Holding AG’s equity investments in its subsidiary ProCredit Bank JSC, Ukraine. As the war intensified economic challenges, MIGA and ProCredit worked together to enhance their Capital Optimization guarantee from €17.1 million to €40.85 million. This enhancement reflects both organizations' commitment to Ukraine's financial sector and their shared vision for maintaining economic stability in the region.
The enhanced guarantee served multiple strategic purposes. By reducing the risk weight of ProCredit Bank's mandatory reserves, it freed up capital for continued lending operations.
PROJECT HIGHLIGHTS
In response to economic challenges from Russia’s invasion of Ukraine, MIGA expanded its Capital Optimization guarantee to ProCredit Holding AG from €17.1 million to €40.85 million.
This enhanced guarantee enabled ProCredit Bank to optimize its mandatory reserves at the National Bank of Ukraine, creating Risk Weighted Asset (RWA) headroom of €35.6 million.
Together, ProCredit and MIGA helped maintain crucial support for small and medium-sized enterprises (SMEs) across critical sectors.
By supporting ProCredit Bank's lending to Ukraine's agricultural sector, the enhanced collaboration helped safeguard Ukraine's agricultural exports, contributing to global food security.
The collaborations also strengthened ProCredit Bank's capacity to serve its clients, contributing to economic resilience in Ukraine.