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One year of soft loan program for defense industry enterprises: 80 loans totaling nearly UAH 5 billion

Ministry of Defence of Ukraine

11 November, 2025, 5:30 PM EET

Over the year of the soft loan program, Ukrainian defense industry enterprises received 80 loans totaling nearly UAH 5 billion.

So far, an additional 16 loan applications from defense enterprises, totaling nearly UAH 700 million, have been approved for issuance, while another 52 applications amounting to over UAH 4 billion are at various stages of review.

"This is an effective support tool that helps our manufacturers scale up more quickly and move from development to serial production. The state is creating conditions for the defense industry to steadily pursue two key objectives — increasing the supply of Ukrainian-made weapons to the Security and Defence Forces and developing a sustainable defense economy," stated Anna Gvozdiar, Deputy Minister of Defence of Ukraine.

The soft loan program for Ukrainian defense industry enterprises is implemented by the Ministry of Defence of Ukraine in cooperation with the Ministry of Finance of Ukraine, the Business Development Fund, and Ukrainian banks. It serves as a support mechanism for enterprises critical to the national economy and defense capability.

Private-sector manufacturers lacking sufficient working capital to expand and enhance their production capacities may apply for the following soft loans:

1. up to UAH 100 million for working capital — for up to 3 years;
2. up to UAH 500 million for investment projects — for up to 5 years.

The interest rate for defense industry enterprises is set at 5%, while the state covers the remaining percentage.

Loan funds may be used to modernize production, acquire new equipment and components, expand manufacturing operations, and support the development and serial production of new models of weapons and military equipment.

To access a soft loan, manufacturers should apply through one of the program's partner banks. Currently, five banks that meet security requirements are participating in the program.