“The European Bank for Reconstruction and Development predicts that its investments in Ukraine next year will amount to 1.5 billion euros. But the volumes can be higher. This was said by Arvid Turkner, the EBRD’s managing director for Ukraine and Moldova, Bloomberg reports. “Planning is a difficult task in Ukraine,” and “maybe more if we find the right deals,” he said in an interview.”, — write on: ua.news
The European Bank for Reconstruction and Development predicts that its investments in Ukraine next year will amount to 1.5 billion euros. But the volumes can be higher.
This was said by Arvid Turkner, the EBRD’s managing director for Ukraine and Moldova, Bloomberg reports.
“Planning is a difficult task in Ukraine,” and “maybe more if we find the right deals,” he said in an interview.
According to him, “infrastructure and energy security are the top two priorities, followed by the private sector and food security sustainability.”
Last year, the London-based bank invested a record amount of almost 2.4 billion euros in Ukraine after increasing its authorized capital by 4 billion euros. The EBRD has focused its energy financing on decentralized small-scale generating capacity to help ensure uninterrupted power supply for people and businesses.
Constant attacks by Russian missiles and drones damaged electricity facilities, which led to power outages throughout the country.
While the EBRD has provided loans to Ukrainian state-owned companies, including railways, more than 50% of its investments last year went to private businesses, Türkner said. The share will remain roughly the same in 2025, as the bank sees a “good agricultural sector” that is central to the Ukrainian economy.
According to Türkner, Ukraine must make progress in fighting corruption and implementing judicial reform to improve the investment climate, as “there is hope” that recovery could begin this year after a ceasefire or peace agreement.
“Reforms are important and we want to help as much as possible,” he said, adding that the Ukrainian government had achieved “a great deal” despite the war.
Turkner also called on the Ukrainian government to advance in corporate governance reform, as state-owned companies will be involved in the reconstruction. “That is why their governance, their capabilities, their transparency and the fight against corruption play a key role in successful reconstruction,” he added.
It will be recalled that at the end of 2023, the Board of Directors of the European Bank for Reconstruction and Development (EBRD) approved an increase in the paid-up capital of the bank by 4 billion euros to 34 billion euros. The capital will be used to ensure significant and sustainable investments in the real economy of Ukraine both during wartime and during the recovery period.
Earlier, the Board of Directors of the European Bank for Reconstruction and Development (EBRD) approved investments in Ukraine for over €1.3 billion.
On December 6, the European Bank for Reconstruction and Development and Ukrnafta concluded a loan agreement for 80 million euros. The funds will be used for the construction of a new modern gas generation plant.
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