The Danish government will create a DKK 7 billion ($1.01 billion) fund in 2023 for military, civilian and business assistance to Ukraine, the Danish government says.
“The situation in Ukraine is extremely serious, and the need for significant support is acute. Ukraine’s struggle for freedom is a struggle for democratic values and society. Therefore, the government has joined forces with an overwhelming majority in the Danish parliament to create a fund of about 7 billion DKK in 2023,” the Danish Finance Ministry said on its official website Wednesday.
In addition, funds are available for 2024-2027 to finance replacements related to military contributions made in 2022 and 2023, the statement clarified.
The fund will reportedly consist of three parts.
The first. Military support in the form of weapons, other military equipment and personnel training – about DKK 5.4 billion in 2023.
The second part. Civilian support aimed at acute humanitarian problems as well as long-term reconstruction – 1.2 billion DKK.
Third part. Support for business initiatives that enable Danish companies to contribute to the reconstruction of Ukraine – 0.4 billion DKK.
Commenting on the event, Danish Foreign Minister Lars Løkke Rasmussen said: “Ukrainians are fighting not only for their own freedom, but also for the security of Europe. With this fund, we bring Denmark’s support of Ukraine to a new level. Not least of all it concerns the business sphere. Danish companies can supply many of the things Ukraine lacks, such as drinking water, district heating and food”.
Reportedly, the Danish Foreign Ministry is going to multiply efforts “to help Danish companies enter the Ukrainian market and allocate more funds to create better conditions for risky investments by Danish companies in Ukraine. This is good news for both Ukrainian and Danish businesses”.
Ukrainian President Vladimir Zelensky thanked Denmark for the establishment of the Ukraine Support Fund.
“I am sincerely grateful to the Danish Parliament, Prime Minister and Government for the establishment of the Ukraine Support Fund. More than $1 billion for military, humanitarian and economic aid to Ukraine is the key to bringing our common victory over the aggressor and the return of peace to Europe!” – he wrote on Twitter on Wednesday.
Denmark, through Nordic Environment Finance Corporation (NEFCO), has directed about EUR4.5 million in additional financing, securing the delivery of new mobile containerized boilers to Ukraine, the NEFCO press service said.
“Denmark and Ukraine are very close partners, and it is good to see that our partnership can also provide support for critical heating infrastructure in eastern Ukraine. Supporting the operation of the heat supply system is critical to the sustainability and combat effectiveness of the country. In addition, it also has a positive impact on reducing CO2 emissions in Ukraine”, – Danish Ambassador to Ukraine Ole Egberg Mikkelsen was quoted as saying.
In particular, according to him, the transferred 20 gas boilers with the capacity of 39 MW will provide central heating to more than 180 thousand people, which is 80% of the total population of the city where they will be installed. About 10% of the Ukrainians receiving assistance are internally displaced persons. The funded project will be able to provide about 30-40% of the needs of citizens in heating (the locality is not named for security reasons – IF).
Activities include installation of new boilers, laying of new pipes, preventive steps to prevent freezing of heating systems in winter and maintenance of systems to ensure their reliable continuous operation.
The new boilers will ensure more efficient heat production, consequently reducing gas consumption by some 1.70 million cubic meters per year. This will result in an annual CO2 reduction of almost 3,400 tons.
“We are very pleased to be able to continue our cooperation with the Danish Sustainable Infrastructure Finance Program Danida (DSIF) in this and other projects in Ukraine to support and green critical infrastructure. The importance of this support from Denmark cannot be underestimated and is much needed in these difficult times,” commented Nefco Investment Director Bo Nyhus.
Since 2021, NEFCO has been managing grant funds for the Danish DSIF funding program, which is funded by the Danish Ministry of Foreign Affairs. Currently, three projects are ongoing despite the war. The goal is to create new projects and quickly rebuild infrastructure in the best quality over the next few years.
NEFCO is an international financial institution which finances the expansion of Nordic green solutions on world markets. It was founded in 1990 by Denmark, Finland, Iceland, Norway and Sweden.
DSIF’s funding program is a tool within the Danish development cooperation Danida, funded by the Danish Ministry of Foreign Affairs. DSIF offers subsidized loans for sustainable infrastructure projects without access to commercial financing in 24 developing countries. DSIF is administered by the Investment Fund for Developing Countries (IFU), based in Copenhagen, Denmark.
The Danish government and the Folketing (parliament) are donating an additional DKK300 million ($42.7 million) to a fund responsible for purchasing weapons and equipment for Ukraine, the Danish Defense Ministry said on its website Thursday.
“Ukraine’s fight for freedom is also ours and Europe’s fight for freedom. Therefore, the government together with the parties in the Danish parliament decided to donate an additional 300 million Danish kroner. kroner to Ukraine. The government will continue to support Ukrainians both financially, militarily and humanitarianly,” Defense Minister Jakob Ellemann-Jensen said.
According to the report, the Danish government held consultations in Folketinget on Thursday regarding the donation of about 300 million more kroner to strengthen support for Ukraine. The funds come from the National Compromise Reserve and are to be transferred to the International Fund for Ukraine (IFU), an international initiative that emerged at a donation conference in Copenhagen in August.
“On Monday, I had the honor of meeting with President Zelensky virtually, where he stressed the continuing need for support from the outside world. That’s why I’m glad that Denmark can make another major contribution to Ukraine’s fight for freedom,” Ellemann-Jensen said.
Official rate of the NBU as of December 22: 5.21 UAH/DKK; 36.57 UAH/USD.
Denmark, through the EU civil protection mechanism, has offered Ukraine 35 excavators to restore damaged and critical infrastructure across the country, the European Commission has said.
“Destroyed by the war, Ukraine needs excavators to help rebuild damaged and critical infrastructure across the country. Denmark has offered 35 heavy machinery vehicles to Ukraine via the EU Civil Protection Mechanism. First vehicles have already arrived via the EU hub in Poland,” the European Commission said on Twitter on Friday.
Denmark will provide Ukraine with a financing package in the amount of EUR 13.5 million, Danish Foreign Minister Jeppe Kofod said.
“I am pleased to announce today that we will provide a financing package in the amount of EUR 13.5 million to support concrete measures before the start of winter,” he said on Tuesday during a conference on the restoration of Ukraine, which is being held in Lugano, Switzerland.
Denmark will soon provide practical reconstruction assistance to Ukraine, Danish Foreign Minister Jeppe Kofod said.
“We will partner and invest in the reconstruction of Ukraine. And I reaffirmed Denmark’s commitment to the restoration of Mykolaiv. We want to move on to more detailed information from Ukrainian partners. But as we speak, we have economic assistance, as well as practical assistance to Ukraine which is already on its way: it will help rebuild your country. Because we must do everything possible to show that such destruction should not happen and that we will overcome it as soon as possible,” Kofod said at a press conference with the Foreign Minister Affairs of Ukraine Dmitry Kuleba in Kyiv on Monday.
