You're reading: Poroshenko signs law on ratifying agreement with Japan on provision of $901 million to modernize Bortnychi sewage station

President of Ukraine Petro Poroshenko has signed a law on ratifying the agreement (in the form of exchange of notes) between the Ukrainian and Japanese governments on the provision of a loan to realize the project to modernize the Bortnychi sewage treatment station as part of the implementation of the project to reconstruct sewage treatment facilities and the construction of a production line for sewage-sludge treatment and utilization of the Bortnychi sewage treatment station.

The law ratifies the agreement signed on June 6, 2015 in Kyiv between Ukraine and Japan on the provision of a loan of JPY 108.193 billion (around $901 million).

The agreement foresees that the crediting term is 40 years with a payment grace period of 10 years. The credit rate is 0.1 percent. A Japanese company will be the general contractor of the project and the volume of Japanese goods used during the realization of the project is to be at least 30% of the cost of the contract.

“The agreement will come into force on the day when Japanese government receives a notice from the Ukrainian government that all necessary inter-state procedures are completed,” the president’s press service said.

As reported, on Sept. 2, 2015 the Ukrainian parliament passed at second reading the draft law No. 0052 on ratifying the aforementioned agreement (in the form of exchange of notes) between the Ukrainian and Japanese governments.