Communities to receive direct funding from Polish bank BGK for infrastructure restoration
Verified by the editorial team 29 September 2026
Updated Marked as news about a loan-plus-grant mechanism; link fixed
Summary
News about a loan-plus-EU-grant mechanism; there is no open call yet. Poland's BGK bank is preparing to finance the restoration of critical infrastructure in Ukrainian communities, with EUR 20 million earmarked for the public sector in two approved projects.
About the call
On 2 April 2026 Ukraine's Deputy Finance Minister Olha Zykova met a delegation from the Polish state development bank BGK led by Karol Tofil to discuss launching the bank's operations in Ukraine. After ratification by the Verkhovna Rada and the President's signature in March 2026, BGK gained a status similar to that of international financial institutions.
BGK's model combines EU grants with bank loans to lower the cost of funding for communities. Two approved projects total about EUR 220 million: roughly EUR 200 million for private-sector investment (energy, transport, construction) and EUR 20 million for the public sector, i.e. community infrastructure. Procedures for approving local borrowing are still being agreed with the Ministry of Finance, and communities are advised to start preparing investment projects for water, heating, energy and transport now.
Who can apply
- Ukrainian local governments and communities
Who cannot apply
- NGOs - the mechanism targets communities
What the funds are for
- Restoring water and heating supply
- Community energy and transport projects
How to apply
- 1Prepare an investment project to restore critical infrastructure
- 2Watch for the BGK and Ministry of Finance mechanism announcement
Questions and answers
- Can NGOs use the BGK mechanism?
- No. The mechanism targets Ukrainian local governments and communities.
- What are communities advised to prepare before the BGK mechanism starts?
- Investment projects for water, heating, energy and transport. Procedures for approving local borrowing are still being agreed with the Ministry of Finance.
Change history
- Updated: Marked as news about a loan-plus-grant mechanism; link fixed
