Sergii Marchenko held meetings with the World Bank Group representatives

On May 26, 2023, during the IMF and the World Bank Constituency Meetings in Montenegro, Minister of Finance of Ukraine Sergii Marchenko met with World Bank Vice President for Europe and Central Asia Antonella Bassani.

The meeting was also attended by Deputy Minister of Finance Olga Zykova and Government Commissioner for Public Debt Management Yuriy Butsa.

The parties discussed already existing and future projects aimed at the recovery of Ukraine, according to the priorities defined in the Second Ukraine Rapid Damage and Needs Assessment (RDNA2) report.

“I am grateful to the World Bank team for their considerable support since the beginning of the full-scale war. In particular, the creation of the Trust Fund of many donors within the framework of the PEACE in Ukraine project enables the Government of Ukraine to provide social and humanitarian expenditures timely and full. Currently, we are determined to start the process of recovering Ukraine already this year. Responsible, transparent and accountable use of donor funds is an undisputed priority for the Ministry of Finance of Ukraine, because the trust of partners is the basis of our cooperation,” said Sergii Marchenko.

During the meeting, the parties discussed the preparation of new joint system projects to be implemented in the process of Ukraine's recovery, namely:

• RELINK - transport infrastructure reconstruction project (USD 585 million);

• Re-Power - electric power sector recovery project (USD 500 million);

• Heal Ukraine- health care system support project (EUR 368 million).

Also, the parties are currently discussing new projects to support agriculture and producers of agricultural products in Ukraine, and a project to restore housing damaged or destroyed as a result of the war.

Sergii Marchenko emphasized that the creation of the Ukraine Relief, Recovery, Reconstruction and Reform Trust Fund (URTF) by the World Bank will play an important role in the reconstruction process. This will create a coordinated mechanism for financing and supporting the activities of the Government of Ukraine, as well as contribute to the planning and implementation of the reconstruction and reform program. The fund will also provide resources for critical advisory and analytical work in the field of wartime relief and recovery.

Also, during the Constituency Meetings of the IMF and the World Bank, the Minister of Finance of Ukraine held a meeting with representatives of the International Finance Corporation (IFC). 

The parties discussed the prospects of expanding cooperation between Ukraine and the IFC in attracting financing for the recovery of the country and supporting Ukrainian business.

“The Government of Ukraine is working to improve the conditions for attracting private investment, to create a “healthy” environment to encourage business to invest. The successful recovery of Ukraine will require multi-year participation and international coordination not only from the governments of the partner countries, but also in cooperation with the private sector. Cooperation with the International Finance Corporation should become one of the tools for attracting funds for the reconstruction of Ukraine,” said Sergii Marchenko during the meeting.

At the same time, the Minister of Finance of Ukraine noted that the efforts of the Government of Ukraine will be directed as much as possible to the insurance of military risks for potential investors, as well as to the development of public-private partnership and will contribute to the financing of projects supporting small and medium-sized businesses.

Additional Information

The Ministry of Finance of Ukraine publishes detailed information on the State Budget expenditures of 2022, which were  reimbursed by the foreign partners under the World Bank's Project Public Expenditures for Administrative Capacity Endurance in Ukraine (PEACE in Ukraine). The purpose of the PEACE in Ukraine Project is to partially compensate for state budget expenditures, including social and humanitarian expenditures not related to the security and defense sector.