Ivan Mukha

Gaining access to affordable business loans is a challenge for many small family farms in Ukraine. Interest rates are high, and the lack of a credit history limits their opportunities for financing.

This was the case for Ivan Mukha and the strawberry farm run by his family in Lviv Oblast.

The farmers started growing strawberries last year and saw good sales of their products in the local market. They decided to double the size of their crop land, expanding to a 2.5-acre farm to meet the increasing demand. To do this, they needed to purchase more seedlings and an irrigation system, but lacked financing.

Ivan’s fellow farmer shared his positive experience of cooperating with a local credit union and recommended he apply for a loan there. Thanks to the USAID/Worldwide Foundation for Credit Unions’ US $1 million Liquidity Fund, which provides liquidity for lending to farmers though credit unions in Ukraine, Ivan received a UAH 150,000 (approximately US $3,800) loan and purchased the needed implements.

As a result, the family harvested 40 tons of high-quality strawberries during this agricultural season. Their plan is to grow to a 10-acre farm next year, and they are determined to continue choosing their credit union as a trusted financial partner.

Since its inception in April 2021, the Liquidity Fund has supported more than 1,142 agricultural MSME borrowers who received over 1,384 loans worth US $3.55 million through 22 CAP Project partner credit unions.