Kyiv, Ukraine, June 23, 2016
—IFC, a member of the World Bank Group, is providing $15 million in debt financing to fuel supplier Nadezhda Group, part of efforts to spur economic growth in Ukraine by making energy supplies more widely available.
The investment will help Nadezhda, which distributes transportation fuels and specializes in relatively clean-burning liquefied petroleum gas (LPG), to expand and modernize its network of over 50 stations.
Its expansion will boost access to quality fuels, including LPG, which is more affordable than other fuels, and help businesses and residents decrease their fuel costs. Improving operational efficiency and cutting costs is a priority for businesses in Ukraine as the country works to recover from a three-year recession.
Victor Batrachenko, Nadezhda’s general director, said IFC’s financial support would help the company expand its network in Ukraine’s regions and the capital Kyiv. “Our strategy is to create an extensive network of multi-fuel stations with a focus on LPG. This will result in better services and accessibility for good quality fuels,” he added.
“IFC’s financing will help a leading local fuel supplier expand its retail operations, thus benefiting customers, said Rufat Alimardanov, IFC’s Country Manager for Ukraine and Belarus. “The project fits well with our broader strategy to help develop infrastructure across Ukraine and expand access to high-quality and cleaner fuels.”
IFC is a leading international investor in Ukraine’s private sector and this project is part of wider efforts to boost growth in the country. Since 2004, IFC has invested over $2.2 billion in long-term investment in Ukraine while spearheading an active advisory services program.
About IFC
IFC, a member of the World Bank Group, is the largest global development institution focused on the private sector in emerging markets. Working with more than 2,000 businesses worldwide, we use our capital, expertise, and influence, to create opportunity where it’s needed most. In FY15, our long-term investments in developing countries rose to nearly $18 billion, helping the private sector play an essential role in the global effort to end extreme poverty and boost shared prosperity. For more information, visit
www.ifc.org
.
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