EIB visits Kyiv: Stepping up the reconstruction of Ukraine

On 29 September, EIB Vice-President Teresa Czerwińska visited Kyiv to discuss the immediate recovery needs of Ukraine and expanding EIB support for the country. This was the first visit of an EIB delegation to Kyiv since the start of the full-scale Russian invasion on 24 February.

Vice-President Czerwińska met the Prime Minister of Ukraine Denys Shmyhal to discuss further disbursements of the €1.59 billion support package provided to Ukraine by the EIB.

Vice-President Czerwińska said: “We are in Kyiv to listen to our Ukrainian partners on how to accelerate our support and expand on the €1.7 billion the European Investment Bank, the bank of the European Union, has disbursed to Ukraine since the beginning of the full-scale Russian invasion. Together with our partners in Team Europe, we are ready to help Ukraine recover faster and more effectively. I would like to thank Prime Minister Shmyhal for his warm welcome in Kyiv and kind words on the importance of the assistance the EIB has provided as a member of Team Europe. We are very proud to be recognised as an example of effective support for Ukraine.”

The EIB delegation met with Ukraine’s Minister of Finance Serhiy Marchenko, Minister of Infrastructure Oleksandr Kubrakov, Minister of Communities and Territories Development Oleksiy Chernyshov, and the National Bank of Ukraine Deputy Governor Sergiy Nikolaychuk.

The EIB delegation discussed advancing the recovery of key infrastructure, notably in liberated territories, steps to support the macro-economic stability of the country, the development of new financial instruments for long-term financing of the recovery, both urgent and post-war, creation of effective transport and trade links with the European Union, and ways to boost trade and create preconditions for long-term sustainable social and economic development and EU accession.

Vice-President Czerwińska said: “I have informed Prime Minister Shmyhal that the EIB is ready to disburse the second tranche of our €1.59 billion support package for Ukraine, of which we have already disbursed €500 million. We are also ready to provide valuable technical assistance to ensure efficient recovery and unlock new financing for Ukraine’s immediate needs. Our priority is to support the faster recovery of Ukraine through its national recovery plan, finance the country’s urgent infrastructure projects and help maintain macro-financial stability.”

To date, the EIB has provided two support packages under its Ukraine Solidarity Urgent Response, both in close cooperation with the European Commission. The first package of €668 million was provided for the immediate needs of the government of Ukraine. The package was disbursed just weeks following the start of Russian aggression; these funds were backed by a guarantee from the European Union.

Under the second support package, the EIB provided €1.59 billion, backed by an EU guarantee, to help Ukraine repair its most critical infrastructure and address the urgent needs of the Ukrainian people, especially housing of internally displaced persons. The second package approved in July 2022 consists of €1.05 billion for immediate financial assistance, the first €500 million of which was disbursed on 14 September.

An additional €540 million is available for resuming the implementation of EIB-financed projects in Ukraine. The financing under the EIB Ukraine Solidarity Urgent Response is being offered on favourable terms, including long tenors.

Support for EU Member States

The EIB also made €4 billion in credit lines available to EU Member States for mitigating the social and economic effects of hosting Ukrainian war refugees. Announced by EIB President Hoyer in April and approved by the EIB board in May, this €4 billion credit line supports Ukraine’s neighbours and host communities that have welcomed refugees with projects for necessary infrastructure and basic services. The EIB board approved the credit line along with the EMBRACE Advisory Platform to support the integration of refugees from Ukraine in EU countries.

Vice-President Czerwińska said: “The EIB and Team Europe want to step up activities to ensure Ukraine can recover quickly and continue to develop as a free and democratic nation. I am glad we have the support of the government of Ukraine to pursue further projects concerning public transport, roads and railways, as well as projects creating transport links with the European Union.”