The American-Ukrainian Investment Fund for Reconstruction has formed the first portfolio of projects with an estimated value of $1.2 billion. In the first two months of operation, 138 investment applications were submitted through the Investportal. After consideration, 22 projects were selected for further processing, and eight of them already have a high level of preparation. The greatest interest of investors is concentrated in the energy sector and energy security.
This was reported by the Ministry of Economy, Environment and Agriculture of Ukraine.
According to the results of the work of the project search committee, 22 projects have already been selected for further processing. Eight of them already have a high level of preparation - they form a portfolio with an estimated value of $1.2 billion.
The largest number of applications was received in the energy sector and energy security. According to the ministry, a total of 53 projects were submitted in this area, which in February was 62% of the total. In the field of transport and logistics infrastructure, 14 projects (16%) were submitted, in the direction of critical minerals - 10 projects (12%), in the direction of new technologies - 7 projects, in digital and telecommunications infrastructure - one project (a total of 8%).
“According to the results of the work of the project search committee, 22 projects were selected for further processing. Eight of them already have a high level of preparation - they are the ones forming a portfolio with an estimated value of $1.2 billion,” the message says.
“I would not be surprised if it turns out that this Fund was created in record time - and this in itself is a result. The number of applications submitted and the interest from international investors confirm the main point: Ukraine has significant unrealized investment potential - and we are already seeing it being translated into concrete reconstruction projects,” said Yegor Perelygin, Deputy Minister of Economy, Environment and Agriculture of Ukraine and Head of the Investment Department.
Background
The United States-Ukraine Reconstruction Investment Fund was established on the basis of an Agreement between the Government of the United States of America and the Government of Ukraine. The authorized capital of the Fund was formed from contributions from both parties in equal shares - $75 million from the United States through the United States Development Finance Corporation (DFC) and from Ukraine. The total amount of initial capital is $150 million.
The management structure of the Fund includes the Governing Board and four specialized committees: investment, audit, administrative and project search committees. The functions of the Fund’s investment advisor are performed by Alvarez & Marsal (A&M).
The Project Search Committee meets monthly and ensures the selection and preparation of investment initiatives in accordance with the Fund’s strategic priorities. In the first years of its operation, the Fund plans to prioritize investments in equity and equity-like instruments (quasi-equity).
You can submit a project and learn more about the details on the Fund’s official website at link.
Photo: Bukvy
Author: Danylo Pievchev