WASHINGTON, D.C. – Financial experts at the World Bank estimate Ukraine will need more than 500 billion to rebuild and recover from Russia’s invasion. Recently, Ukraine’s Ambassador, Prime Minister and other experts looked at ways they believe could help rebuild their country.
At Ukraine’s “Innovation Days” event in Washington, D.C., it brought in experts and leaders focusing on Ukraine’s recovery and redevelopment.
“Everyone dreams about reconstruction, security,” said Ukraine’s Minister of Finance Serhii Marchenko.
Russia’s three-year invasion in Ukraine has had a human, infrastructure and economic cost on Ukraine. The World Bank estimates Ukraine has suffered about 176-billion dollars in direct damages due to Russia’s war. Housing, transportation, energy, education and commerce and industry are the most affected sectors, according to the World Bank. But they’ll need much more to be in good shape.
“524-billion in needs over the next ten years,” said Bob Saum, the World Bank’s regional country director for Eastern Europe.
Some experts said for Ukraine to bounce back and recover, they’ll need to focus on security and building up their workforce.
“We need to invest in people,” said Davide La Cecilia, Italy’s special envoy for Ukraine’s reconstruction. “We need to invest in their capacity to build- to innovate the country.”
Country finance leaders said investments should be made in places like the agriculture, tech and military industries. Others said part of the reconstruction efforts should focus on creating environments to support people to return to the country, like creating housing to attract workers.
“70 percent of firms indicate the shortage of labor is the number one issue, even above security,” said Saum.
But to drive up the private sector, they still have a long way to go.
“Looking at policy reform that increases competitiveness that increases the transparency issues,” said Saum. “We’re working with the government on issues on war risk insurance.”
Financial experts we heard from said Ukraine is likely to rely on funding from allies to help support their recovery efforts. Experts did not talk about the implications on Ukraine if the US were to back away from aiding their recovery efforts. The US has been one of the largest sources of help for their security, stability and recovery needs.
