Reconstruction of Ukraine requires $486 billion – World Bank
According to the results of the third assessment of damages and needs, which the Ukrainian government conducted together with the World Bank, as of December 31, 2023, the total cost of reconstruction and restoration in Ukraine is $486 billion over the next decade.
According to the World Bank, this figure is higher than the needs estimated at $411 billion a year ago.
What are the funds needed for?
According to the estimates of the Ukrainian authorities, only in 2024 the country will need about $15 billion for urgent priority reconstruction and restoration measures at both the national and local levels, with a special emphasis on support and mobilization of the private sector, as well as on the restoration of housing and social infrastructure and services, energy and transport.
RDNA3 emphasizes that although about $5.5 billion of these financing needs have already been provided both by Ukraine’s international partners and from its own budget, about $9.5 billion currently remain unsupported by financing.
– We see that during the last year the needs for restoration continued to grow. The main resource for the recovery of Ukraine should be the confiscation of Russian assets frozen in the West. We should start this process already this year. At the same time, the Ukrainian government is creating conditions for attracting private investments, which will speed up the reconstruction process and change our country on the way to the EU, – said Prime Minister of Ukraine Denys Shmyhal.
In Ukraine, 10% of the housing stock was damaged or destroyed, which led to the long-term displacement of Ukrainians from their communities.
The collapse of the Kakhovka HPP dam and hydroelectric plant in June 2023 had significant negative impacts on the environment and agriculture, and exacerbated the problems people already faced trying to secure access to housing, water, food and health services.
