COMINBANK has become a partner bank of the "Affordable Factoring" programme

On 14 December, the Ministry of Economy of Ukraine and the Ministry of Finance of Ukraine officially launched the Affordable Factoring programme as part of the State Programme for Support of Ukrainian Entrepreneurs "5-7-9%".

Thanks to the "Affordable Factoring" programme, the Entrepreneurship Development Fund, together with its partners and the Government, is expanding the range of financial instruments for Ukrainian entrepreneurs.

COMINBANK has become one of the partner banks with which the Entrepreneurship Development Fund has signed cooperation agreements.

Dmytro Chornyi, Director of Factoring, Documentary Operations and Trade Finance Department of COMINBANK:

"We expect that this cooperation will have a positive impact on the dynamics of increasing the volume of factoring operations both in Ukraine in general and in JSC "COMINBANK" in particular. In addition, now factoring will be available to customers of those industries that have not previously used it due to the relatively low margins of their own business. These are primarily food producers, who are facing rather difficult conditions. On the one hand, buyers, large retail chains, demand terms of cooperation with long payment deferral periods. On the other hand, the cost of financing to provide the expected deferred payment period is currently high. The possibility of obtaining factoring services at a relatively low rate will make factoring literally affordable for manufacturers. In my opinion, the launch of the programme will help to increase the number of companies using factoring, which will lead to an increase in the volume of factoring services."

Under the Programme, the compensation rate under the factoring agreement will be 13% per annum, and the maximum term of factoring financing will be 360 days. In order to achieve the goal of providing state support, factoring financing may be provided by an authorised factor to a business entity in the amount of up to 95% of the amount of the monetary claim, and the maximum financing limit may not exceed UAH 150 million, taking into account funds received under the programmes "Affordable Loans 5-7-9%" and "Affordable Financial Leasing 5-7-9%".

More information about the programme is available on the website of the Entrepreneurship Development Fund:

https://bdf.gov.ua/programs/prohrama-finansovoi-derzhavnoi-pidtrymky-sub-iektiv-pidpryiemnytstva-za-dohovoramy-faktorynhu-dostupnyy-faktorynh/