Our mission

The main objective of German-Ukrainian fund is to strengthen the competitiveness of ukrainian MSMEs by providing loans to finance investments and working capital through selected partner banks.

Since this goal can only be achieved under condition of stable running and developed banking system an important task for GUF is also support of banking sector development, that can ensure a suitable long-term financing of MSMEs at a reasonable price.


Founders

GUF was founded in 1999 by the National Bank of Ukraine (31,25%), the Ministry of Finance of Ukraine on behalf of the Cabinet of Ministers of Ukraine (31,25%) and German development bank (KfW) (37,5%) on a parity basis.GUF was founded in 1999 by the National Bank of Ukraine, the Ministry of Finance of Ukraine on behalf of the Cabinet of Ministers of Ukraine and German development bank (KfW) on a parity basis.

GUF capital amounts to ?16.36 Million.
GUF is a non-profit institution, so any possible profit is not distributed among shareholders and goes for further lending to MSMEs. This status is determined by the governmental organizations of Germany and Ukraine to ensure sustainability of GUF funds.


Management

Collegial management of GUF is provided by the Supervisory Board. Chairman of the GUF Supervisory Board is the Governor of the National Bank of Ukraine and members are authorized representatives of KfW and the Ministry of Finance of Ukraine.Collegial management of GUF is provided by the Supervisory Board. Chairman of the GUF Supervisory Board is the Governor of the National Bank of Ukraine and members are authorized representatives of KfW and the Ministry of Finance of Ukraine.
The highest official of GUF is the Executive Director, who is responsible for all issues related to current activity and represents GUF in relations with all foreign and domestic institutions.
The Project Monitoring Unit (PMU) is responsible for general management of GUF funds, according to the Regulations on the German-Ukrainian Fund, the Supervisory Board decisions and the agreement on the implementation of GUF ongoing activities..


Programs

The main instruments of GUF are its lending programs, which are implemented according to «second level» principle, by providing financial resources to MSMEs through selected partner banks that meet certain requirements. Partner banks lend to MSMEs target groups that are featured in the Programs of GUF.The main instruments of GUF are its lending programs, which are implemented according to «second level» principle, by providing financial resources to MSMEs through selected partner banks that meet certain requirements. Partner banks lend to MSMEs target groups that are featured in the Programs of GUF.
This principle allows to distribute the credit risk among partner banks and cover all country regions through the developed branch network of GUF partner banks.


Strategy

The strategy of further development of GUF, which was adopted by its founders in 2010 identifies the main areas of improvement and development of GUF, increasing its role in the support of MSMEs including:

• improving the cooperation with partner banks;

• improving and expanding the range of loan products for MSMEs;

• introduction of interest rate restrictions for the end borrowers;

• introduction of requirements for partner banks co-financing at the expense of GUF funds;

• advisory support for partner banks;

• attraction of new donors;

• measures to promote GUF;

One of the most important areas of development of GUF today is the increase of lending in local currency and improvement of loan products terms and conditions for MSMEs (including interest rates limits for MSMEs) which is designed to increase the attractiveness and accessibility of GUF loan resources for MSMEs.