German automotive components manufacturer Kostal Mobility Holding SE has reached an agreement with the International Finance Corporation (IFC), part of the World Bank Group, on the provision of credit support totaling €150 million, of which €50 million will be allocated to the development of production in Ukraine. The loan is expected to be approved in January 2026, with financing to be disbursed in two tranches and repaid by December 2027.
The first tranche of €100 million is intended to support capital expenditures and working capital needs across several European countries — Bulgaria, North Macedonia, Poland, and Ukraine. These funds will be used for research and development, product modernization, improvements in energy efficiency, and the acquisition of specialized equipment. The second tranche of up to €50 million will be directed specifically toward the development of the company’s Ukrainian operations once relevant conditions allow, but no later than December 2027.
Founded in 1912, Kostal is a global leader in the production of electronic and electromechanical components for the automotive industry. The group employs more than 20,000 people across 64 locations in 22 countries, with revenue of approximately €3.5 billion in 2024.
Kostal has been present in Ukraine for nearly 20 years.
The first automotive electronics manufacturing plant was opened in Pereiaslav in 2006 in a refurbished facility.
The second plant, located in the village of Dudarkiv (Kyiv region), began operations in April 2021.
More than €13 million has been invested in construction and approximately €26 million in high-tech equipment as part of these infrastructure projects. The company works with leading global automakers, including Volkswagen, Audi, Ford, Renault, Skoda, and Seat.
According to YouControl, in 2024 the net revenue of the company’s Ukrainian operations increased by 27.7% year-on-year to UAH 2.4 billion, while net profit rose by 49% to UAH 103.3 million. In January–September 2025, profit amounted to UAH 142.3 million and revenue reached UAH 1.81 billion, indicating steady business growth despite economic challenges.
IFC’s investment in Kostal Mobility is not an isolated case of increased financing for Ukraine’s industrial sector. The International Finance Corporation continues to expand its presence in the country, directing funds toward supporting the private sector, manufacturing, and sustainable development.
In August 2025, IFC, together with OTP Leasing Ukraine, announced the launch of a €50 million risk-sharing program aimed at stimulating financing for small and medium-sized enterprises in key sectors, including agribusiness, manufacturing, energy, and logistics, with a focus on green development and energy efficiency.
In addition, IFC made its first equity investments in leading Ukrainian insurance companies by acquiring stakes in two major insurers from Vienna Insurance Group. This reflects a broader trend of growing institutional investment in Ukraine’s financial sector amid increasing investment attractiveness.
