Up to EUR600B needed to rebuild Ukraine - World Bank

Up to EUR600B needed to rebuild Ukraine - World Bank

The post-war reconstruction of Ukraine will cost about EUR 500-600 billion.

Such an opinion was expressed by the Vice President of the World Bank, Anna Bjerde, in an interview with the Austrian newspaper Die Presse, an Ukrinform correspondent reports.

"Previously, we published a figure that was calculated jointly with the European Commission and Ukrainian Government. How much money is needed to rebuild Ukraine and bring it up to European standards, for example in terms of energy efficiency? As of early June, it was about EUR 350 billion," said Bjerde.

She added that now this figure has increased significantly: "This is definitely an increase to EUR 500-600 billion."

Read also: Estonia to provide financial aid to Ukrainians hardest hit by war

According to the vice-president of the World Bank, a big road map alike the "Marshall Plan" is needed to restore Ukraine, which should be a "combination of public and private money."

Commenting on the consequences of Russian missile attacks on the Ukrainian industry, the vice president said that "Ukrainians are doing a great job restoring what was destroyed." But if this continues, Ukraine may soon face a shortage of spare parts. "Therefore, we are working with other partners on emergency assistance to provide both equipment and liquidity to continue repair work," she stated.

Bjerde reported that before the attacks on civilian infrastructure, the World Bank predicted a 35% drop in Ukraine's GDP this year, but now this indicator may be even higher. "Probably, it will be closer to 40%. Without infrastructure, there is no economy, and therefore, there are no tax revenues for the Ukrainian state. This is a very alarming situation," said the vice-president of the Security Council.

She also noted the catastrophic humanitarian implications of the Russian war against Ukraine: "By the end of 2022, eight million people in Ukraine will live below the poverty line. The poverty rate will increase from 2% to 25%."

As reported, German Federal Chancellor Olaf Scholz said that the reconstruction of Ukraine will be the "Marshall Plan of the 21st century" and an opportunity to build a more stable and strong country.

Photo: Office of the President of Ukraine

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