Ukraine’s Defense Companies Sign 26 Leasing Agreements Worth UAH 91.2 Million – mezha.net

Ukraine’s Defense Companies Sign 26 Leasing Agreements Worth UAH 91.2 Million  mezha.net

Ukraine’s defense-industry companies have signed 26 state-backed leasing agreements worth UAH 91.2 million to modernize production and reduce upfront costs. A new state-backed financing tool is helping defense manufacturers acquire essential equipment while easing the pressure of major upfront investments. Defense industry enterprises have signed 26 contracts under the preferential financial leasing program. The total amount of financing is UAH 91.2 million, the Ministry of Defense of Ukraine reported. This is reported by the Ministry of Defence of Ukraine. The program helps manufacturers upgrade their material and technical base without a significant one-time financial burden. The leasing arrangement can be used to acquire equipment, machinery, technological systems, automation solutions, vehicles, and other assets required for production.

Purchasing new equipment requires substantial funds here and now, and preferential leasing is intended to reduce precisely this barrier. The first contracts signed mean that enterprises can already use this tool to develop their production. The maximum amount of financing under a single contract is UAH 500 million, while the lease term may be up to five years. Thanks to state support, an enterprise’s actual cost of leasing fees can be reduced to as little as 5% per year. The difference is covered by the state. The contract terms may also provide for a deferral of leasing payments for up to 12 months. Enterprises