EBRD and EIB plan to provide EUR100 mln to Amber Dragon Ukraine Infrastructure Fund I

The European Bank for Reconstruction and Development (EBRD) and the European Investment Bank (EIB) plan to contribute EUR60 million and EUR40 million, respectively, to the capital of the new Amber Dragon Ukraine Infrastructure Fund I with a stated target size of EUR350 million.

The fund will invest in infrastructure projects (primarily in the fields of renewable energy, sustainable transport and digital infrastructure) in Ukraine. The EBRD will act as an anchor investor, and it is expected that the EBRD's participation in the fund will contribute to attracting capital for the implementation of sustainable infrastructure projects in Ukraine, the bank noted on its website.

"The aim is to support investments in renewable energy and other energy-related technologies in Ukraine, which will contribute to achieving the goals of energy security, renewable energy and decarbonization in Ukraine … In addition, the operation will contribute to financing the restoration and modernization of key infrastructure sectors in Ukraine, in particular transport and digital, the EIB noted.

The EBRD named Amber Fund Management Ltd (UK) as the initiator of the fund in the information, but the leading Ukrainian investment group Dragon Capital was also involved in the process of its creation, as evidenced by the statement.

The EIB indicated that the project is at the assessment stage, while the EBRD board of directors plans to consider it on September 24 this year.

Amber Infrastructure Group, according to information on the website, was established more than 15 years ago and is a specialized manager for international infrastructure investments. The group is engaged in the search, financing and management of assets, has worked in 22 countries and implemented more than 175 projects.

Amber currently manages or advises eight funds and accounts with a total amount of over GBP5 billion with more than 200 properties. Among the funds is the Three Seas Initiative Investment Fund (3SIIF) created in 2020, geographically close to Ukraine and with a similar investment profile, with a volume of EUR1 billion for critical infrastructure facilities in Eastern and Central Europe, which has already invested in 5 properties.