“Green mortgages, both in Europe and in our country, should be subsidized by the state, and the program of state support on reducing the cost of mortgage lending can be one of the incentive mechanisms”, – Andriy Gapon, Executive Director of the Entrepreneurship Development Fund (EDF).
According to the executive director of the EDF, last year in Ukraine there were only 5 banking institutions that issued mortgages, all the rest worked with installments. Therefore, at the initiative of the President of Ukraine, the Government has developed a procedure for reducing the cost of mortgage loans.
“If we talk about the program itself, it was launched on March 1, 2021, implemented by the Entrepreneurship Development Fund under the mechanism “Affordable Loans 5-7-9 “. The main goal of the program is to facilitate citizens’ access to mortgage guarantee, revitalize the mortgage market, stimulate construction, ” – noted Mr. Gapon.
UAH 300 million is planned for 2021 for the implementation of the program, which takes place in 17 banks of Ukraine.
Terms of the state program “Affordable Mortgage 7%”: https://bdf.gov.ua/uk/programa-dostupna-ipoteka-7
Results of the program: as of October 4 – 1287 applications, of which 903 – approved by banks.
Changes are planned to the program “Affordable Mortgage 7%”, namely:
– age of the building – (increase to 10 years);
– increasing the margin of banks in the primary market.
“The lack of terminology prevents us from working in the market of “green” mortgages because it is difficult to imagine – how banks can include in their product, which is subsidized by the state, an element that is not approved by law,” – said Andrew Gapon.
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