Ukraine’s largest lender PrivatBank has signed its first agreements with the International Finance Corporation (IFC) to boost credit for small and medium-sized businesses, including a focus on female entrepreneurs, reported Interfax-Ukraine.

The deal includes a risk-sharing facility for a $100mn loan portfolio and a $20mn trade finance guarantee line from the IFC, a member of the World Bank Group.

“The start of cooperation between IFC and PrivatBank is a truly historic event. These are the first agreements between our institutions. I am confident that they will scale our lending capabilities and make them more accessible,” said Mikael Björknert, Chairman of PrivatBank’s Board, in a statement.

Under the risk-sharing arrangement, loans to women-led businesses are expected to account for 35% of the portfolio. The trade finance component brings PrivatBank into the IFC’s Global Trade Finance Program (GTFP), which aims to expand cross-border trade flows in emerging markets.

PrivatBank said it had increased credit support for Ukrainian entrepreneurs by 40% in the first eight months of 2025, providing UAH 46bn ($1.1bn) in loans. It currently serves 748,000 entrepreneurs, covering nearly 60% of operating legal entities and almost half of all active private entrepreneurs in the country.

Ukraine has been seeking to strengthen support for small and medium-sized enterprises (SMEs), which remain a vital part of the economy despite the strains of Russia’s war. International institutions such as the IFC and the European Bank for Reconstruction and Development have stepped up efforts to provide capital and risk-mitigation tools to keep businesses afloat and encourage investment.