Foreign Donors Pledge €60 Billion for Ukraine Post-Invasion Reconstruction

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Foreign donors have committed to providing €60 billion ($66 billion) in aid to Ukraine over a multi-year period to support the country's reconstruction efforts following Russia's invasion in February 2022.

The pledges were made at the two-day Ukraine Recovery Conference held in London, primarily consisting of a €50 billion ($55 billion). The amount includes commitment from the European Union, along with new pledges from the United Kingdom and the United States.

Vast Reconstruction Needs and Financial Support:

The Ukraine Recovery Conference, initially not intended as a pledging event, resulted in a combined commitment of €60 billion in support for Ukraine.

The country faces extensive rebuilding challenges, with homes, hospitals, and critical infrastructure left in ruins after 16 months of conflict.

The World Bank estimates the reconstruction cost to exceed $400 billion, emphasizing the urgent need for financial assistance.

Calls for Private-Sector Investment:

At the conference, diplomats and political leaders stressed the massive scale of the rebuilding task and urged private-sector companies to contribute through investments.

Nearly 500 companies from 42 countries pledged their support, recognizing the importance of their involvement in Ukraine's recovery efforts.

Energy Sector Restoration and Immediate Rebuilding:

Ukraine's energy sector will be a primary focus of the initial rebuilding efforts, as it has suffered extensive damage during the Russian raids.

The restoration of the energy grid is crucial to ensure families have access to electricity and heating, especially during harsh winter months.

The United States has pledged over $1.3 billion in aid, with more than $500 million designated for energy grid restoration and improvement.

Reforms and Conditions for Future Progress:

In addition to financial aid, discussions at the conference touched upon Ukraine's potential future membership in the European Union.

Officials emphasized the importance of Ukraine making further progress in areas such as reducing corruption and reforming the judiciary.

These reforms would send a positive message to investors, ensuring transparency, fairness, and functioning institutions necessary for investment in Ukraine.

Anti-Corruption Efforts and Infrastructure Upgrades:

Promoting anti-corruption measures in Ukraine remains a priority, as the country has long struggled with corruption issues.

US Secretary of State Antony Blinken highlighted the significance of anti-corruption efforts and announced that some of the US funding would be allocated to upgrading ports, improving border infrastructure, and digitizing customs procedures to enhance rule enforcement.

German Foreign Minister Annalena Baerbock stated that the goal is to rebuild Ukraine to meet the standards necessary for EU membership.

(Courtesy: Al-Jazeera)