The European Bank for Reconstruction and Development, or EBRD, and Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden NV, or FMO, have arranged a €24.5 million syndicated loan to finance the development of a solar project in Ukraine.

The facility consists of an "A Loan" of up to €12.25 million provided on the EBRD's own account and a "B Loan" of the same amount provided by FMO, a Dutch development finance company. It will finance the development of a 30-MW solar project in the Cherkasy region of Ukraine, expected to begin commercial operations in the fourth quarter of 2019.

The project will be implemented by a Ukrainian special purpose vehicle fully owned by the Norwegian solar developer Scatec Solar ASA.

The project is the EBRD's second investment under its €250 million Ukraine Sustainable Energy Lending Facility III. The EBRD has previously financed two programs in Ukraine, co-financed by Clean Technology Fund, which developed 14 renewable projects in the country with a combined installed capacity of 158 MW.