Since the beginning of Russia’s full-scale invasion of Ukraine, the European Bank for Reconstruction and Development has invested 3.8 billion euros in the Ukrainian economy. In the next five years, the EBRD can invest in Ukraine from 7.5 billion to 15 billion euros. EBRD President Odile Renaud-Basso emphasized this, Ukrinform reports.
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What is known
As Renaud-Basso noted, recently the Ukrainian economy has stabilized and is even experiencing significant growth height. Renaud-Basso called it “incredible and amazing” the fact that in conditions of war and economic instability, the Ukrainian economy grew by 5% according to the results of 2023.
According to her, this became possible to a large extent thanks to the financial support of Ukraine from outside, stimulating businesses to further invest in the country’s economy.
The EBRD President noted that now it is obviously difficult to attract new foreign investors to do business in Ukraine. However, it is possible to stimulate the business activity of Ukrainian companies, as well as foreign companies already present on the Ukrainian market.
“Over the last two years, we have been able to invest 3.8 billion euros in Ukraine,” noted Reno -Basso.
She added that this is more than before, when an average of 1 billion euros were invested per year.
The EBRD President also drew attention to the stability of the Ukrainian banking system, noting that through it it is possible to actively finance small and medium-sized business and provide support to local companies in need of assistance in obtaining working capital or investment.
Renaud-Basso noted the need to finance key infrastructure in Ukraine, in particular in the energy sector, improve the functioning of the communications system, including the railway, to increase the capacity of Ukrainian exports to EU countries.
In her opinion, now we need to focus on investments for the short term and do this together with reforms, in particular, to improve the procurement system and fight corruption.
The President of the EBRD said that she has a “positive signal” for Ukraine: in 2024 the bank will continue invest in the Ukrainian economy.
“Our assessment is that in the next five years we can invest between 7.5 billion and 15 billion euros in the real economy,” Renaud-Basso said, noting that the EBRD will do this in cooperation and coordination with other partners in the EU, donors and international financial institutions.
Recall
At the end of 2023, the European Bank for Reconstruction and Development financed projects in Ukraine for a record amount of 2.1 billion euros, in 2024 the volume of financing is planned to be reduced to 1.5 billion euros.