During the spring meetings of the trustees of the World Bank Group and the International Monetary Fund (IMF), financing needs and support priorities for the reconstruction and reconstruction of Ukraine were discussed this week.
One billion of this amount will be allocated by the European Union (EU), several G7 countries and European financial institutions have also decided to allocate funds, explained Dombrovskis. The EU politician emphasized that this money is needed to restore the infrastructure destroyed by Russia’s targeted attacks in Ukraine.
Also, during the international meeting, donor negotiations were held regarding the 411 billion US dollars (372 billion euros) needed for the long-term reconstruction of Ukraine. Both the short-term remaining amount and the long-term necessary funds will continue to be negotiated at the international meeting on support for Ukraine to be held in London in June, the vice-chairman of the EC stated.
In order to move towards the long-term allocation of more than 400 billion US dollars, a very serious mobilization of funds will be required and a serious legal evaluation of the possibility of using the frozen Russian funds for these needs will also need to be continued, explained Dombrovskis.
“According to international law, Russia, as an aggressor state, is obliged to pay reparations for the damages it has caused to Ukraine,” the politician emphasized.
Dombrovskis also pointed out that the necessary financing for covering current expenses for Ukraine this year has been secured, including the relevant EU program providing 18 billion euros of support.
As reported, according to the assessment of losses and needs of Ukraine, the European Commission, the World Bank and the IMF, by the end of February 2023, Ukraine’s direct losses are estimated at 135 billion US dollars.
Reconstruction needs are estimated at around 411 billion US dollars (around 372 billion euros), including 14 billion US dollars (12.7 billion euros) needed for urgent reconstruction needs.
