EIB could issue EUR 30 mln to Ukrposhta to upgrade logistics network

The European Investment Bank (EIB) is considering the possibility of issuing a EUR 30 million credit line to Ukrposhta state-owned enterprise for the implementation of an investment plan for the modernization of the logistics network and related infrastructure.

"The investment loan would support investment in Ukrposhta's logistics network modernization, including investment in new sorting hubs and depots, as well as an investment in related IT infrastructure. The investments will help ensure the quality of universal postal service for businesses and consumers at affordable prices. Moreover, the investment will enhance postal and logistics systems of Ukrposhta to meet the demands of domestic and international supply chains," the bank said on its website.

"This operation is covered by the EU Guarantee for EIB loans outside the EU," it said.

The EIB indicates that the total cost of this project is approximately EUR 62 million, but does not specify other sources of co-financing.

Director General of Ukrposhta Igor Smelyansky told Interfax-Ukraine these funds are to be used to create new logistics centers.

Source: www.en.interfax.com.ua