Why apply for financing from NEFCO?

We have long experience lending directly to municipalities in Eastern Europe, often as the first external lender. As an international finance institution, we are comfortable with the risk level of lending to medium and smaller municipalities. For the most needed cities, we can offer various types of funding, including grants, soft loans and grants in addition to loans. We can also provide technical assistance for feasibility studies and project implementation support to our municipal borrowers through engagement of experienced consultants.

Who can apply?

Municipalities and utility companies

Where and how?

Medium-sized projects in Eastern Europe

  • In Ukraine, Belarus, Russia, Moldova and Armenia
  • Loans in EUR up to 5 million
  • Can be blended with dedicated grant funding
  • Provision of technical assistance

Small energy-saving projects in Eastern Europe

  • In Ukraine, Belarus, Russia, Moldova and Armenia
  • Loans in local currency, on favourable terms, up to the equivalent of 500,000 EUR

Scope of project

Environmental projects to improve energy security and help the countries reach their emission targets, typically

  • energy efficiency in public buildings
  • street lighting
  • district heating
  • water and wastewater
  • solid waste management

Risk assessment

  • Larger loans in EUR at relevant market terms
  • Smaller loans in local currency on favourable terms are meant for 1st or 2nd loan of a smaller municipality.
  • Utility company loans must be guaranteed by the local municipality.

How we work

As an international financial institution we have a range of policies and guidelines that will help you understand how we work both internally and with our partners and customers. Click further to read more about these >>

We welcome project proposals, which aim at generating positive environmental or climate-related results. Read further about our environmental criteria and guidelines >>

Projects should also contribute to the global sustainable development goals >>


We blend our own loan funds with grant financing provided by a range of donors through us to leverage and make projects feasible and bankable.

In addition to dedicated funds provided by the Nordic governments and the Nordic Council of Ministers, we are also an accredited implementing agency for the EU, E5P,  the Northern Dimension Environmental Partnership (Northern Dimension Environmental Partnership is a result-focused initiative responding to calls from the international community for concerted action to tackle the most pressing environmental problems in the Northern Dimension Area (around the Baltic and Arctic seas, and North-West Russia). For environmental projects, NDEP grants complement loans provided by IFIs and these in turn can leverage further local and international funding.NDEP) and the Green Climate Fund (Green Climate Fund, an operating entity of the financial mechanism of UNFCCC to support projects, programmes and policies and other activities in developing country Parties.GCF). By blending funds to implement scalable projects, we help our financiers and customers to reach their environmental and sustainability goals.


NEFCO has its own Procurement Guidelines and Recommended Tender Documents that are applied in projects financed by NEFCO. Read more about procurement here.

How to apply

Contact NEFCO local office in Kyiv or our headquarter in Helsinki for further information:

  • For local currency loans: Julia Shevchuk in Kyiv or Aliona Fomenco in Helsinki
  • For larger projects: our Investment Managers


Ulf Bojö

Vice President, Green Transition Eastern Europe

+358 10 6180 637
Swedish, English, Russian, Italian

Vitaly Artyushchenko

Chief Investment Adviser, Consultant, Russia

+7 911 980 1723
Russian, English, Swedish

Vivi Avikainen

Investment Manager

+358 10 6180 661
Swedish, Finnish, English

Amund Beitnes

Investment Director

+358 10 6180 658
Norwegian, English, Russian, Spanish

Aliona Fomenco

Investment Manager

+358 10 6180 647
Romanian, Russian, English, Finnish

Helena Lähteenmäki

Investment Director

+358 10 6180 633
Finnish, Russian, English, Swedish

Ronny Nilsson

Senior Adviser, District Heating

+358 10 618 06 42
Swedish, English

Bo Nyhus

Investment Director

+358 10 6180 665
Danish, English, Russian

Julia Shevchuk

Chief Investment Adviser, Ukraine

+380 50 358 3518
Ukrainian, Russian, English