Ukraine and Switzerland have signed a Memorandum of Understanding, under which Switzerland will pay a contribution of 6.4 million euros for Ukraine’s subscription to additional shares as part of the increase in the European Bank for Reconstruction and Development’s (EBRD) authorized capital.
The Memorandum was signed on behalf of Ukraine by Finance Minister Serhiy Marchenko, and on behalf of Switzerland by Ambassador Dominic Paravicini, Delegate of the Swiss Federal Council for Trade Agreements of the State Secretariat for Economic Affairs. The signing took place during the 34th annual EBRD meeting and business forum held this year in London.
The subscription to additional shares will keep Ukraine’s existing shareholding in the EBRD’s capital unchanged. This allows Ukraine to maintain its influence in the Bank’s decision-making regarding financing Ukraine’s needs during the war with Russia.
At the end of 2023, the EBRD Board of Governors approved increasing the Bank’s authorized capital by 4 billion euros. Ukraine was allocated 3,227 additional EBRD shares worth 32.27 million euros.
According to the signed Memorandum, the Swiss side will pay the first installment of 6.4 million euros on behalf of Ukraine directly to the EBRD. These funds are provided on a non-repayable basis, so they will not impose any debt burden on Ukraine’s state budget.
The Finance Minister thanked Switzerland for this step and its support of Ukraine:
“I am grateful to our Swiss colleagues for their systematic support of Ukraine. Your contribution is a sign of solidarity and strong partnership between our countries. Ukraine’s participation in the EBRD capital is extremely important, as it opens opportunities for investment in the recovery of the economy from the consequences of Russia’s full-scale aggression. It is a signal of trust in Ukraine as a reliable partner, part of the global financial system,” Serhiy Marchenko said after the signing.
The Finance Minister also met with Ambassador Dominic Paravicini, expressing hope that cooperation between the two countries will continue to strengthen in the future.
According to data from the Kiel Institute for the World Economy, since February 2022 Switzerland has provided Ukraine with aid totaling 935 million euros, including 720 million euros in humanitarian aid and 215 million euros in financial aid. This includes 30 million USD in direct budget support grants.
The Finance Minister also thanked Switzerland for plans to allocate 1.5 billion Swiss francs (about 1.7 billion USD) for humanitarian aid, economic development, and long-term recovery of Ukraine under Switzerland’s International Cooperation Strategy for 2025–2028.
