The EU-funded Mayors for Economic Growth (M4EG) initiative, implemented by the United Nations Development Programme (UNDP), will support six municipalities across Armenia, Moldova and Ukraine under its City Financial Advisory Programme, following the recently launched Call for Interest in the three countries.
The City Financial Advisory Programme, designed in collaboration with Frankfurt School of Finance & Management and Climate Policy Initiative, aims to establish a City Finance Advisory Function (CFAF), a regional advisory and development mechanism that strengthens cities’ ability to design investment-ready urban projects.
Under this programme, each selected municipality or group of municipalities will receive:
- Tailored technical advisory support for cities, strengthening local capacities in investment planning and readiness to attract financing.
- Partner identification and capital sourcing for city investment projects through connecting cities with investors and IFIs.
- Project pipeline development and financial structuring, including a grant support of USD$60,000 to improve financial readiness of one key priority project.
These efforts reflect the joint commitment of the European Union and UNDP to help bridge the financing gap between cities and investors in selected Eastern Partnership countries. The programme will enhance local financial capabilities and help aggregate urban development projects into bankable investment pipelines.
“The European Union welcomes this important initiative, which will support Ukrainian municipalities in strengthening their financial management and turning priority urban projects into investment-ready opportunities. By enhancing local capacities and improving access to finance, the programme will help local authorities mobilise much-needed resources for sustainable urban development and economic recovery,” said Stefan Schleuning, Head of Cooperation at the EU Delegation to Ukraine.
Auke Lootsma, Resident Representative of the United Nations Development Programme (UNDP) in Ukraine, emphasized that the initiative is about more than just financial planning. “Empowering Ukrainian cities to bridge the gap between local vision and international investment is the cornerstone of the country’s long-term resilience,” he said. “By transforming ambitious ideas into bankable, sustainable projects, we are unlocking the capital necessary to rebuild lives and deliver the tangible progress that residents across Ukraine deserve. UNDP is proud to partner with the European Union to launch this transformative programme.”
In addition to the six selected cities, the CFAF will also support two cities currently participating in the City Experiment Fund (CEF) Twin Transition cohort. These cities, which are undergoing portfolio design processes, will be identified in consultation with the CEF team.
The selected cities are listed below:
Armenia: Tashir, Lori Province; Stepanavan, Lori Province.
Moldova: Ungheni, Centre Region; Edinet, North Region.
Ukraine: Trostianets, Sumy Oblast; Kryvyi Rih, Dnipropetrovsk Oblast.
For more information about the City Financial Advisory Programme, as well as updates and upcoming opportunities for local governments, please visit the M4EG website.
The M4EG Initiative was launched by the European Union in 2017, and it has been continuously funded by the EU since then. Since 2021, the initiative has been managed by UNDP, in close cooperation with the EU, local authorities and various partners.
For media inquiries:
Anton Sydorenko, M4EG Facility Communications Lead, [email protected]
