RLF - RLG - OTP Leasing 2023

signed

A Resilience and Livelihoods Guarantee (RLG) in the form of an unfunded risk-sharing instrument covering up to 50 per cent of the credit risk in newly originated sub-leases with the total value of €80 million equivalent (the "Covered Portfolio") to be originated by OTP Leasing in Ukraine subject to total 50 per cent portfolio cap. The Project will include a sub-limit under the SME Competitiveness Programme in the European Union's (EU) Eastern Partnership ("EaP SMEC" sub-limit, assigned with a separate EBRD project number 54684) of EUR40 million or 50% of the Covered Portfolio, to finance long term capital investments of micro-, small-, and medium sized enterprises (MSME) to upgrade their technologies and equipment to EU standards, including investments in sustainable and green technologies (70% of EaP SMEC sub-limit), thereby enhancing businesses' competitiveness. Eligible sub-borrowers will also receive technical assistance funded by the EU and grant support in the form of investment incentives upon the completion of their investment projects.