Cross-cutting facilities with partners like the European Commission are focused on building synergies and creating impact across priority themes.
IFC Ukraine Economic Resilience Action Program for Ukraine
As part of the World Bank Group’s response to Russia’s invasion of Ukraine, IFC’s Ukraine Economic Resilience Action Program supports projects during Russia's invasion of Ukraine and initial stages of reconstruction. IFC’s strategy focuses on keeping businesses alive and ensuring that private capital supports Ukraine’s recovery. This includes supporting small and medium-sized enterprises (SMEs) through local banks via risk-sharing facilities and trade finance; directly investing in larger businesses — particularly in agribusiness — to safeguard jobs and food security; mobilizing private sector participation in infrastructure, including telecom and energy; and backing innovation and high-tech ventures through venture capital and private equity funds to retain talent and build future growth.
The private sector will play a critical role in the rebuilding of Ukraine but investing remains risky. Flexible concessional funds from partners are crucial to de-risk high impact projects and mobilize private sector investment in critical sectors and prepare for the reconstruction phase. As of October 2025, blended finance contributors to the ERA program include the Belgium, the European Commission, France, Japan, Netherlands, Norway, Switzerland, and the United Kingdom. These guarantee and other blended finance contributions have been instrumental in enabling IFC to take on greater risk and mobilize additional private capital to unlock more in total investments despite the war.
For more information on IFC’s ERA Program for Ukraine visit: https://www.ifc.org/ukraine
The European Commission:
Better Futures Program, European Fund for Sustainable Development Plus (EFSD+)
European Fund for Sustainable Development Plus (EFSD+) is part of the European Union’s investment framework. It supports public and private investment in partner countries worldwide by providing financial guarantees and technical assistance to promote inclusive economic development.
The $70 million IFC-Netherlands partnership includes a dedicated $22 million blended finance facility, Alafaq Aljadida (New Horizons), to help reduce the risk profile of projects with high development impact in the MENA region. The blended concessional finance investment component aims to catalyze private sector investments in potentially high-impact projects that are on the threshold of commercial viability, and deepen and expand IFC’s efforts in MENA into new and emerging areas by catalyzing innovative investments and unlocking private financing in eligible Program countries. Eligible countries of the Program are Iraq, Jordan, Tunisia, Egypt, the West Bank and Gaza, Algeria, Morocco, and Yemen.
Better Futures Program: RE-Ukraine, Ukraine Investment Framework (UIF)
In 2024, the European Commission provided a Ukraine top-up to the Better Futures Program of approximately $386 million under the Ukraine Investment Framework, to scale up IFC's investments in Ukraine's real sector. This makes the EC IFC's largest blended finance contributor to Ukraine, at a critical time for the country.
IFC is also implementing two other facilities supported by the European Commission:
Small Loan Guarantee Program (SLGP): The €58 million SLGP uses a mechanism to pool together a portfolio of IFC risk-sharing facilities with IFC’s partner financial institutions to encourage them to expand their small and medium enterprises lending portfolio. This was the first blended finance collaboration between the European Commission, the International Development Association, and IFC.
In addition, the European Commission has approved two IFC programs that focus on agriculture and climate in the Western Balkans.
Alafaq Aljadida Blended Finance Facility
Middle East and North Africa Private Sector Development Program
IFC has embarked on a regional partnership with the Government of the Netherlands to support development across the Middle East and North Africa (MENA) region.
The $70 million IFC-Netherlands partnership includes a dedicated $22 million blended finance facility, Alafaq Aljadida (New Horizons), to help reduce the risk profile of projects with high development impact in the MENA region. The blended concessional finance investment component aims to catalyze private sector investments in potentially high-impact projects that are on the threshold of commercial viability, and deepen and expand IFC’s efforts in MENA into new and emerging areas by catalyzing innovative investments and unlocking private financing in eligible Program countries. Eligible countries of the Program are Iraq, Jordan, Tunisia, Egypt, the West Bank and Gaza, Algeria, Morocco, and Yemen.
Priority Areas
The Alafaq Aljadida is a multisector facility that can support projects across industries and themes (e.g. renewable energy and climate, water, education, healthcare, agribusiness, building materials and chemicals sectors, microfinance, SME finance, access to finance, trade finance etc.)
Contacts
Last updated: January 2026