The National Recovery Council published the “Ukraine Recovery Plan”, according to which more than $750 billion in investments should be attracted by 2032.
The relevant document is published on the Ukraine Recovery Conference website.
As the chairman of the Verkhovna Rada committee on finance, tax and customs policy Danylo Hetmantsev notes, funds will be raised not only from donors, but also in the form of private investments. At the first stage, to support stability, it is planned to attract about $60-65 billion, excluding funds for security and defense.
“First of all, these funds are necessary to ensure macro-financial stability, finance the budget deficit, and this is probably a large part of them. Macrofinancial stability is the number one condition. If we do not receive money for our social obligations or maintaining the balance of payments, then we will have rather deplorable results,” he said.
In total, the plan envisages 15 goals that require funding in 2022 and the achievement of which will directly depend on the stability of the state in wartime.
According to Danylo Hetmantsev, the main investment milestones, in addition to macro-financial stability, are investments in the development of logistics, as well as preparation for the winter season.
“We have to destroy the bottleneck that prevents us from shipping goods abroad. We also need to modernize housing and energy saving, first of all, in terms of reducing gas consumption, which is strategic for us,” says the head of the committee.
In addition, the National Program includes about $6 billion in investments for the restoration and development of Ukrainian metallurgy. In particular, $0.7 billion for the construction and modernization of ore and pellet production facilities, $1.5 billion for the creation of facilities for the production of direct recovery iron, $1 billion for the production of 2.5-5 million tons of “green” steel at EDP.
It is planned to allocate more than $2.4 billion for the expansion of capacity at the borders with the EU, and more than $35.4 billion for the short-term reconstruction and modernization of the infrastructure.
The next two stages provide for attracting contributions and grants for the years 2023-2025 in the amount of $100-150 billion, and for the years 2026-2032 – also $100-150 billion. Credit money – $100-150 billion also in two stages. Private investments – $50 billion in the second stage and $200 billion in the third.
“These are the investments we need, and we are counting on these numbers. But the plan itself includes state funds. We understand that some programs cannot be implemented without them,” Danylo Hetmantsev summarized.
We will remind, in Europe it is estimated that the post-war reconstruction of Ukraine may cost €1 trillion, or $1.1 trillion, which will be allocated as foreign aid. At the same time, they understand that it is Europe that “will have to play the biggest role” in the process of restoring Ukraine.
In mid-May, the European Commission approved the Plan for the Reconstruction of Ukraine. The European Union will rely on the plan developed by the National Council on Post-War Reconstruction.
Source: https://gmk.center/ua/
