Germany announces a new package of guarantees for companies investing in Ukraine during the war

The German Federal Government has announced the introduction of a new package of guarantees for German companies investing in Ukraine in times of war. This is reported by tagesschau, citing a statement by Minister of Economy Robert Habeck.

According to the new guarantees, the German government will cover the risks associated with the conversion and transfer of interest payments on equity-like loans. These long-term loans, which are often used by German companies to finance their subsidiaries in Ukraine, will be backed by an additional guarantee.

"We want to create conditions and increase the potential for investment while the war is ongoing. This is also a signal of trust and solidarity," the newspaper quoted the minister as saying.

Habeck added that closer economic ties with Ukraine would help the country recover faster after the war.

It is noted that since April this year, Germany has been providing investment guarantees to German companies in case of destruction of production facilities in Ukraine, for example, after missile strikes by Russia.