As of June 2022, the restoration of Ukraine is estimated at 350 billion dollars, according to the World Bank and the European Commission. In just six months, this amount has doubled due to Russian aggression.
By the end of January 2023, in order to completely recover from the consequences of the war, 600-750 billion dollars. Prime Minister Denys Shmygal said that the priority is energy.
He stressed that the government has already identified five priorities to finance a speedy recovery.
- The first is the energy sector, because Russia has damaged more than 400 electricity and heat supply facilities.
- The second is housing, because 150,000 houses were damaged or destroyed in Ukraine.
- The third priority, according to Denis Shmyhal, is humanitarian demining, because more than 30% of Ukraine’s territory is contaminated by Russian shells.
- The fourth priority is critical and social infrastructure: roads, bridges, utilities, water, heat and gas supply networks, schools and hospitals.
- The fifth priority is aid to the private sector.
The Prime Minister also noted that our country will need the seized Russian assets to be restored. By the end of January 2023, Ukraine’s recovery needs are 600-750 billion dollars.
The head of government also reminded that according to the World Bank and the European Commission, as of June 2022, the restoration of Ukraine amounted to 350 billion dollars.
How many Russian assets are already frozen in the world?
According to Bloomberg, the EU and G7 partners froze nearly 300 billion euros ($311 billion) in Russian Central Bank reserves, as well as 19 billion euros in the assets of Russian businessmen under sanctions. The publication states that these estimates are incomplete and that the assets are in a suspended state and cannot be distributed.
meanwhile as he said Focus In January 2023, economist, member of the Association of Financial Analysts Vitaly Shapran, countries freeze assets because it is beneficial for them. Their banks get the opportunity to use a shareware resource for a very long time.
“For example, Korean banks where Iran’s foreign currency reserves are placed have held these assets since 1979. Turning these assets over to victims is another matter – there were very few examples like this,” says Vitaly Shapran.
Accordingly, the expert predicts that in 2023 Ukraine will receive most of the funds from the United States in the form of military aid.
To rememberFocus He also wrote that according to the December 2022 estimates of the World Bank, 500-600 billion Euros may be needed for the post-war reconstruction of Ukraine. According to World Bank Vice President Anna Bjerde, the estimated amount has doubled since June.
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