Ukraine Recovery Vice Prime Minister Oleksandr Kubrakov and President of the European Investment Bank (EIB) Werner Hoyer signed a Memorandum of Understanding on cooperation in Ukraine recovery projects envisaging allocation of EUR 840 million in 2023.
According to the press service of the Ministry of Community Development, Territories and Infrastructure, the memorandum, signed during the Ukraine Recovery Conference 2023 (London, June 21-22), provides for the allocation of EUR840 million for the implementation in 2023 of priority projects to restore the infrastructure of Ukraine.
Kubrakov reminded that since the beginning of Russia’s full-scale invasion, the European Investment Bank has allocated EUR 1.7 billion in emergency aid to Ukraine. This money was used for the needs of the state budget and supported the economy of Ukraine.
“Today we are expanding our cooperation on the reconstruction of Ukraine. We will work together on a number of projects aimed at restoring municipal and transport infrastructure, improving energy efficiency, etc. We appreciate the support the Bank has already provided to Ukrainians, and we thank EIB President Werner Hoyer for his cooperation and the Bank’s critical role for Ukraine’s sustainability during the war,” Kubrakov said.
It is noted that EUR840 million, envisaged by the Memorandum, will be used for preparation, evaluation, financing and implementation of projects on reconstruction of municipal infrastructure (schools, hospitals, etc.); public buildings with consideration of energy efficiency; water supply and sewage infrastructure; transport networks and public transport.
The EIB will also finance the development of digital transformation and the strengthening of cybersecurity.
In addition, the Memorandum provides for the cooperation of Ukraine and the EIB on the use of a special trust fund from the EIB – EU for Ukraine Fund and lending projects in Ukraine with the support of the European Fund for Sustainable Development Plus (EFSD +) guarantees.
The Ministry of Reconstruction and the EIB will work on the implementation and application of a package of technical and consulting assistance for Ukraine worth about EUR100 million.
The European Investment Bank is one of the largest creditors of Ukraine. To date, the EIB’s portfolio of projects with the Ukrainian public and municipal sectors and businesses reaches more than EUR 7 billion.
Ukraine is counting on Austria’s assistance in restoring infrastructure and humanitarian demining, Ukrainian Prime Minister Denys Shmygal said.
“Austria is among the countries that helped Ukraine overcome this winter and Russia’s energy terror. In a conversation with Federal Chancellor Karl Negammer thanked for 10 million euros to restore energy, help with equipment and generators,” Shmygal wrote in the Telegram channel.
According to the prime minister, the sides also discussed support in the reconstruction of Ukraine.
“We count on Austria’s help in the reconstruction of infrastructure and humanitarian demining. Separately, we paid attention to the situation at the ZNPP and the strengthening of sanctions against the aggressor, in particular the impossibility of circumventing the restrictions already imposed by Russia,” he summed up.
American business has every opportunity to take leading positions in restoring Ukraine’s economy and infrastructure right now, Ukrainian President Volodymyr Zelenskyy said in a video address to members of the National Association of US Manufacturers.
As the head of state noted, participation in the reconstruction of Ukraine after the hostilities will give an extraordinary moral advantage to all businesses. At the same time, according to him, businesses that help in one way or another the Russian tyranny, will not be able to avoid problems and reputational crisis.
“American business is well positioned to take the lead in both rebuilding the Ukrainian economy and infrastructure and in showing the world that it is human nature to serve precisely worthy ends, and that this gives and always will give the greatest result. Ukrainian life after this war will inevitably get a fresh start,” Zelensky said.
He stressed that Ukraine now needs to restore hundreds of industrial, infrastructure and social facilities, residential buildings.
“Entire cities, industries, productions. This is a colossal task. But realistic. Ukraine is interested in projects to create a full production cycle in titanium, lithium, aluminum production, ferrous metallurgy … We need to rebuild the economy and energy on new security principles. It is in Ukraine that we will combine green transformation with security transformation and set an example for the same transformation in other countries”, Zelensky said.
He also said that mechanical engineering, agro-processing, weapons production, including modern drones, IT, transportation and infrastructure, localization of business in Ukraine and convenient logistics to other markets from Ukraine, and human capital “are not just investment opportunities and growth, but a wide space for American victories.”
“I urge you to prepare for these victories now and come to Ukraine now so that when we return the world, your hard work will already be producing results,” the president concluded.
The National Association of Manufacturers is one of the largest associations of manufacturers in the American business world which represents large and small manufacturers from all branches of industry in all 50 states of the United States. The association now has about 14,000 members.
Taiwan’s Foreign Ministry has allocated about $56 million in the 2023 budget for rebuilding Ukraine’s civil infrastructure, Caribbean News Global reported Monday.
The publication said, citing Taiwan’s Foreign Ministry, plans to participate in the reconstruction of Ukrainian hospitals, schools, churches, energy facilities, water supply, bridges and transport on a bilateral and multilateral basis.
“Since the start of the war (Russia’s full-scale invasion of Ukraine), the people and government of Taiwan have donated a total of 27 tons of medical supplies and more than 700 tons of humanitarian aid. Aid from Taiwan was quickly delivered via Poland, Slovakia and other neighboring countries to Ukrainians seeking to protect their homes during the war,” the publication notes.
Taiwan also donated more than $41 million to efforts in coordination with neighboring countries – including Poland, the Czech Republic, Slovakia and Lithuania – and international organizations to resettle Ukrainian refugees together.
The State Agency for the Restoration and Development of Infrastructure, which is being created by the decision of the government on Friday on the basis of the State Agency for Infrastructure Projects and the State Road Agency of Ukraine (Ukravtodor), will be responsible for the implementation of projects for the restoration of Ukraine, said Deputy Prime Minister for the Restoration of Ukraine Oleksandr Kubrakov.
“The most important thing is that we have a structure that is responsible for the efficiency, transparency and accountability of infrastructure restoration … The new agency will be able to implement ambitious plans into reality,” he wrote on Facebook on Friday evening.
Kubrakov, explaining the choice of the basis for the creation of a new agency, noted that the State Agency for Infrastructure Projects throughout its history has performed similar tasks for the state – large-scale projects involving both budget and external financing.
The Deputy Prime Minister added that Ukravtodor, which Kubrakov himself headed until May 2021, although he had previously focused mainly on road infrastructure, showed record results of successfully completed projects over the past three years.
Ukravtodor is the largest and most successful partner of international financial institutions. Reconstruction financing has already begun and, as expected, the main instrument is through the procedures of the World Bank, the European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD),” the Deputy Prime Minister said.
According to him, on the basis of Ukravtodor, two key reforms are already being implemented as part of a major joint project with the EBRD and the EIB – anti-corruption and procurement reform, after which Ukravtodor will become the first public institution in Ukraine to receive ISO international certification for the prevention of corruption, and procurement specialists will receive international CIPS certification.
In addition, Ukravtodor has powerful representative offices in the regions with decent salaries and a flexible motivation system in accordance with successfully implemented projects, and in 2021 it issued infrastructure eurobonds, Kubrakov also pointed out.
“In order for the new Agency to be able to successfully cope with the tasks set, we are initiating negotiations with our partners to update the Reform Support Team on the basis of the Agency and launch an anti–corruption office in the center and in the regions,” the Deputy Prime Minister said.
Ukraine has invited French utility services operator Suez to join the country’s infrastructure rehabilitation projects.
According to the Ministry of Economy, First Vice Prime Minister Yulia Sviridenko during the meeting with the leadership of the French company discussed opportunities for Suez to participate in the restoration and construction of water supply and wastewater treatment plants, construction of waste treatment plants, as well as restoration of ecological state of lands, water resources and environmental protection.
According to the press service of the Ministry of Economy, the French company is interested in cooperation including within the framework of state-private partnership mechanism.
“Russian aggression has led to significant destruction of Ukraine’s civil infrastructure. There are big problems with water supply in the liberated territories, in the regions where active hostilities took place. This is especially true for the south and east of Ukraine. The amount of work is extremely large, but we will restore everything and hope for Suez’s participation in this work,” Sviridenko noted.
According to her, Ukraine is also interested in the experience and capabilities of the company in the field of waste management.
“Ukraine will develop a green economy on the key principles of the EU. And we strive to ensure that the most advanced technologies existing in the world will be implemented in our country”, – she added.
