Ukraine has already paid a heavy price since it suffered a full-scale Russian invasion in February 2022. The war not only killed and maimed tens of thousands of people, but also destroyed a large number of infrastructure and buildings, led to economic recession and social unrest, and left millions of people displaced and impoverished. In order to rebuild and restore this war-torn country, Ukraine needs the strong support and help of the international community.
According to the latest assessment jointly released by the United Nations, the World Bank, the European Commission and Ukraine** on February 15, 2024, the total cost of reconstruction and recovery in Ukraine over the next decade will reach US$486 billion (about 3.).5 trillion yuan), which is $75 billion higher than the assessment a year ago. This figure is equivalent to three times Ukraine's GDP in 2023 and also exceeds Ukraine's current total external debt.
The assessment covers all the damage and needs suffered by Ukraine from 24 February 2022, when Russia launched a full-scale invasion, to 31 December 2023. The direct physical damage to Ukraine from the war is as high as $152 billion, with the housing, transport, energy, agriculture and industry and commerce sectors being the most affected, the report said. The war has also had a profound impact on Ukraine's people, society, environment and culture, leading to poverty of 7.1 million people, reversing development gains over the past 15 years, exacerbating inequality and threatening the goals of sustainable development.
The assessment also outlines key investment needs for Ukraine's short- and medium-term reconstruction, as well as corresponding policy and reform recommendations. The report stresses that Ukraine's reconstruction and recovery should be people-centred, focused on inclusiveness and "green" principles, promoting private sector involvement, safeguarding vulnerable groups and communities, building resilience and reducing risks.
Ukrainian Prime Minister Denys Shmyhal said in a joint statement that the assessment is an important part of Ukraine's reconstruction strategy and an important tool for reconstruction efforts with partners. He said Ukraine** is already implementing a rapid recovery plan, focusing on the rehabilitation of areas such as housing, energy, transport, social protection and humanitarian demining. He also called on the international community to increase its assistance to Ukraine, especially to exert greater pressure on Russia to bear the responsibility and cost of the war.
For her part, the UN Resident Coordinator and Humanitarian Coordinator in Ukraine, Denise Brown, stressed the need to invest in Ukrainians because they are the future of the country. The war is not over, and the suffering is not over, but communities in Ukraine have shown tremendous courage and determination to drive their own inclusive recovery process, and they need the continued support of international partners, she said.
Anna Bjerde, Vice President of the World Bank's Europe and Central Asia region, also said that the World Bank will continue to provide financial, technical and policy support to Ukraine to help it achieve economic recovery and growth, improve people's quality of life, and strengthen the country's resilience and stability. She said that providing support to Ukraine is not only an investment in the country, but also in the global economy.
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Várhelyi Olivér, the EU's commissioner for neighbourhood policy and enlargement, said that the EU will continue to work closely with Ukraine, support it in carrying out necessary reforms, provide financial and technical assistance, and promote its integration with the EU. He said the EU has pledged more than 3 billion euros in aid to Ukraine, including funds for reconstruction and recovery, as well as emergency aid to deal with the pandemic.
The assessment report benefited from the support of the Global Disaster Risk Reduction and Recovery**, the Swiss Federal Secretariat for Economic Affairs and the Digital Development Partnership. The assessment report complements Ukraine's "Ukraine Plan" and the EU's "Ukraine Mechanism". The two upcoming tools set out the reform and investment agenda for the next four years and are designed to help Ukraine join the European Union.