Vienna Insurance Group strengthens position in Ukraine

Written by Michael Griffiths

15/12/2025

The International Finance Corporation (IFC), a member of the World Bank Group, is to acquire a stake in the Ukrainian non-life insurance companies of Vienna Insurance Group (VIG) through a capital increase.

With the support of the IFC, the product portfolios of two VIG companies, USG and Kniazha, are to be expanded and their digitalisation strategies accelerated.

Subject to regulatory approval, the IFC will acquire a stake of around 20% in each of USG and Kniazha. With the support of the IFC as a partner, VIG said it plans to promote the growth of the Ukrainian insurance market and further expand its strong position in Ukraine.

Building on its existing partnerships with AON and Lloyd’s, VIG revealed it also intends to play an active role in the reconstruction of Ukraine after the end of the war.

Deputy CEO of VIG, Peter Höfinger, commented: “We have been working with the IFC since the end of 2022, when it acquired a stake in our Bulgarian pension fund Doverie.

“While the focus in Bulgaria is on expanding the pension fund business to strengthen capital-funded pension provision and combat poverty in old age, extending insurance cover in Ukraine is essential for the future reconstruction of the country. With IFC and our existing partnerships with AON and Lloyd’s, we are preparing to take an active role in the renewal process of this country.”

The managing board member of VIG responsible for Ukraine, Harald Rienermember, added: “We see IFC’s investment in our Ukrainian companies not only as a sign of confidence and recognition of our expertise in the Ukrainian market. It is also a commitment to the country and its great potential, which both IFC and we continue to see.

“Ukraine is and will remain part of our core market CEE. We are very proud of the immense resilience of our Ukrainian colleagues, whose unwavering commitment ensures the stability and profitability of the companies despite the difficult war conditions.

“Together with the IFC, we are leveraging the expertise of our teams and partners in the country to provide high demanded insurance solutions for the country's reconstruction once the war hopefully comes to an end soon.”

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