European Foundation
for the Improvement of
Living and Working Conditions

The tripartite EU agency providing knowledge to assist
in the development of better social, employment and
work-related policies

EU PolicyWatch

Database of national-level policy measures

Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for measure DE-2022-20/2290 Updated – measures in Germany

Expanded loan guarantees for companies affected by the war in Ukraine

Erweiterte Bürgschaftsprogramme

Country Germany , applies nationwide
Time period Temporary, 09 May 2022 – 31 December 2023
Context War in Ukraine
Type Legislations or other statutory regulations
Category Supporting businesses to stay afloat
– Access to finance
Author Sandra Vogel (IW)
Measure added 16 May 2022 (updated 27 February 2023)

Background information

Against the background of the war in Ukraine, the German Federal Government has rolled out (financial) aid measures for businesses affected by the war. On 8 April 2022, the Federal Government adopted measures to help companies suffering from the negative impact of the war in Ukraine and/or sanctions against Russia and Belarus. Apart from the special loan programme hosted by Germany's promotional bank called Kreditanstalt für Wiederaufbau (KfW), guarantee schemes from the German Federal Government or the German federal states were also expanded. Latter are temporary and will expire on 31 December 2022 (as set out in the European Commission’s Temporary Crisis Framework).

Content of measure

The German Federal Government and the German federal states have expanded their guarantee scheme for companies negatively affected by the war in Ukraine. Companies applying for a working capital or investment loan at their house bank and are asked for a loan guarantee can apply at the large-scale guarantee scheme under certain circumstances. First of all, companies must require a guarantee that is worth over €20 million in structurally weak regions. Outside structurally weak regions, this sum rises to over €50 million. Secondly, applicants must prove that they have been negatively impacted by the sanctions against Russia or Belarus and/or the war in Ukraine. Negative impacts can include one of the following circumstances:

  • decline in revenue due to lost sales markets,
  • production losses or facility closure in either the Ukraine, Belarus or Russia,
  • production downtime as raw materials and primary products are lacking, or
  • suffering strongly from the rising energy costs and proving that the applicant’s annual turnover in 2021 included at least 3% of energy costs.

If applicants fulfil these criteria, their working capital or investment loan application can be guaranteed under the large-scale guarantee scheme (in which the federal states cooperate with the Federal Government). Loans for small and medium-sized companies can also be guaranteed at the federal states level (with no involvement of the Federal Government), if guarantees do not exceed the of €2.5 million.

Companies can apply for guarantees since 29 April 2022. However, guarantees can only be granted as soon as Germany received programme approval from the European Commission.


The following updates to this measure have been made after it came into effect.

28 October 2022

Against the background of the continuing war in Ukraine, the progamme was prolonged by one year until the end of 2023.

Use of measure

No information yet.

Target groups

Workers Businesses Citizens
Does not apply to workers Applies to all businesses Does not apply to citizens

Actors and funding

Actors Funding
National government
Local / regional government
Local funds
National funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role Unknown Unknown
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • Unknown
  • Main level of involvement: Unknown


Social partners are usually consulted on larger measures related to social or labour market issues. At the moment, it is not known, if consultations took place for this particular measure.

Views and reactions




Eurofound (2022), Expanded loan guarantees for companies affected by the war in Ukraine, measure DE-2022-20/2290 (measures in Germany), EU PolicyWatch, Dublin,


Eurofound publications based on EU PolicyWatch

30 January 2023


Measures to lessen the impact of the inflation and energy crisis on citizens

Governments across the EU continue to implement policies to support citizens and businesses in the face of rising food and energy prices caused by the COVID-19 crisis and intensified by the war in Ukraine. This article summarises the policy responses as reported in Eurofound's EU PolicyWatch database from January to September 2022.


12 September 2022


First responses to cushion the impact of inflation on citizens

Although the worldwide pandemic situation had already disrupted supply chains and triggered increases in energy and food prices in 2021, the situation deteriorated in 2022 with the Russian invasion of Ukraine.


12 September 2022


Policies to support EU companies affected by the war in Ukraine

This article summarises the first policy responses that governments across the EU have started to implement to support companies affected by the rising prices, and those with commercial ties to Ukraine, Russia or Belarus.


5 July 2022


Policies to support refugees from Ukraine

This article summarises the first policy responses of EU Member States, including those of the social partners and other civil society actors, enabling refugees to exercise their rights under the Temporary Protection Directive.


Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.