Ukraine needs $9.5 billion for rapid recovery in 2024
Ukraine requires $9.5 billion for rapid recovery this year, namely in the defense industry, energy, housing, agriculture, natural resources, and the IT sector, the Finance Ministry said on June 20.
The material costs of Russia's full-scale invasion of Ukraine continue to grow as Moscow's forces regularly strike the country's cities and infrastructure with missiles and drones.
A report developed by the government and international partners said Ukraine would need $15.3 billion for recovery needs in 2024, of which part has already been financed from the state budget and by donors, pushing down the number to $9.5 billion.
Speaking at the Invisso Conference in London on June 18, Deputy Finance Minister Olha Zykova said that consolidating efforts with partners is crucial for creating a favorable investment environment, which will then lead to sustainable economic growth.
"Creating a favorable environment for investment involves improving access to financing for investment projects, providing war and political risk insurance, and introducing state support mechanisms," Zykova said.
"The Government of Ukraine is actively cooperating with several partners and is committed to implementing steps to improve this process."
The estimated cost of Ukraine's post-war recovery had risen to $486 billion over a 10-year period, the World Bank said in February. Kyiv has been laboriously searching for new sources of income, both at home and abroad, to cover these needs.
Ukraine has begun receiving the first tranches of the 50-billion-euro ($54 billion) four-year Ukraine Facility program from the EU, and the Group of Seven (G7) promised to provide a $50 billion loan by the end of this year, covered by the frozen Russian assets revenue.
This is in addition to contributions from other donors, including individual countries or international organizations like the International Monetary Fund (IMF).
Wolfgang Fengler
