Olga Zykova: Investments in the critical infrastructure, logistics and Ukraine`s energy sector are among the priorities in cooperation with the EIB
On May 6-7, the Ministry of Finance of Ukraine and the European Investment Bank held the first in 2024 joint sectoral project portfolio review.
The event was held online and chaired by Deputy Minister of Finance of Ukraine Olga Zykova and Director for EU Enlargement & Neighbourhood Countries, Head of the division covering public sector lending operations in the EU Eastern Neighbourhood and Central Asia Lionel Rapaille, as well as representatives of government agencies and beneficiaries, including the The Ministry for Communities, Territories and Infrastructure Development of Ukraine, the Ministry of Energy of Ukraine, the Ministry of Education and Science of Ukraine, NPC Ukrenergo, Ukrhydroenergo and others.
"The Bank's rhythmic and steady support of Ukraine since the first days of the full-scale war has helped the Government to maintain stable operation of critical sectors of the Ukrainian economy. The sectoral review of existing projects contributes to the effective prioritization and use of funds within the initiatives. I am convinced that dynamic cooperation with the EIB will serve to further achieve the goals of the projects and attract new investments from the Bank to Ukraine," Olga Zykova said.
Thanks to the fruitful cooperation of the Ukrainian side with the Bank, in 2023, it was possible to attract more than EUR 261 million of the investment component of projects - twice as much as in 2021 and 8 times more than in 2022. The investment disbursement in 2023 was the largest in the years of cooperation with the EIB
The volume of the portfolio of joint projects in the public and private sector is the largest in all the years of Ukraine's cooperation with the Bank - more than EUR 7 billion, and since the beginning of the full-scale war, the volume of EIB investments provided has been more than EUR 2 billion.
Currently, 23 projects are under implementation with a total volume of over EUR 4.8 billion. Of these, 11 projects are aimed at supporting transport infrastructure, 5 initiatives are being implemented in the municipal sector, including social infrastructure reconstruction projects, the energy sector includes 4 investment projects, 2 in education, and 1 investment project is aimed at supporting and modernizing the logistics network of Ukrposhta.
In April 2024, Ukraine and the European Investment Bank signed a Memorandum of Understanding in relation to cooperation on the public and private sector of the economy of Ukraine which sets out priorities and areas for further cooperation. In particular, special attention is paid to investments in the logistics and energy sectors and improving their security, development and reliability, as well as investments aimed at improving civil protection and healthcare infrastructure.
During the event, the Ukrainian side emphasized the importance of continuing and effectively implementing projects to restore and develop power plants as soon as possible, which in turn will help ensure energy security in Ukraine.
In addition, a number of reconstruction and recovery projects are being implemented in cooperation with EIB, namely the Emergency Loan Programme for the Reconstruction of Ukraine and the Recovery Programme for Ukraine, which are aimed at effective and, most importantly, timely restoring of the social infrastructure of local communities in Ukraine affected by the russian armed aggression.
Olga Zykova emphasized that in today's realities, improving the lives of citizens and sustainable economic growth of the country is impossible without a secure and properly functioning energy system and critical infrastructure.