He The World Bank estimates that it will take about $411 billion to rebuild Ukraine after a year of Russian invasion, according to a report issued this Thursday by the institution together with the Ukrainian Government, the European Commission and the UN.
The figure assumes more than double the country’s Gross Domestic Product in 2022and much of it would go to restore transport and energy systems, as well as rebuild homes affected by the war.
The more than US$400,000 million are the amount that would be needed to bring the country back to normal over the next decade. By 2023the WB estimates that about US$14 billion will be needed.
This Tuesday, Ukraine and the International Monetary Fund (IMF) announced that they reached a four-year agreement at the technical staff level to access a fund of US$15.6 billion. The pact, which is still subject to approval by the IMF Executive Board, will allow kyiv to develop fiscal and macroeconomic policies that help you return to sustainable debt and to advance in its path of access to the European Union, specified the organization.
In a statement, the Ukrainian Prime Minister, Denys Shmyhalexplained that the number does not take into account damage to currently occupied territories by Russia, and assured that the country’s authorities will start working on them as soon as they are released by the security forces.
Despite the reconstruction of the country “will take years”. “Their resilience and determination, as well as the support of their allies during the invasion, are containing the damage and reducing the needs,” said the World Bank’s vice president for Europe and Central Asia, Anna Bjerde.
Bjerde made a appeal to private investors to do their part to help Kiev, since support for Ukraine “is an investment in the global economy.”
Also, “the ability to keep the government running and the flow of services have helped limit the escalation of the costs of recovery and reconstruction,” he added.
this one Thursday is the second estimate of the cost of the restoration issued by the World Bank. In September 2022, it was estimated at 349,000 million dollars.
The report also calculates US$135,000 million the economic value of the damage at infrastructures of the country, and finds that 37% (almost 50,000 million) corresponds only to destroyed homes.
The World Bank further noted that the Russian invasion of Ukraine has pushed more than 7 million people into poverty and reversed 15 years of development.
Source: Ambito
