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Dutch government allocates €1.2 billion in non-military aid to Ukraine

Dutch government allocates €1.2 billion in non-military aid to Ukraine
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The Dutch government will provide Ukraine with €1.2 billion in non-military assistance over the next three years. The funding will primarily support the energy and water supply sectors, Ukraine's recovery and reconstruction, and the development of cooperation between Ukrainian and Dutch businesses. This was announced on the Dutch government's official website.

"The Dutch government will allocate €1.2 billion in non-military assistance to Ukraine over the next three years. The package is intended to address Ukraine's most urgent needs, support recovery and reconstruction, and expand opportunities for Dutch businesses," the statement said.

The main priorities will be supporting energy and water supply infrastructure, as well as assisting businesses. The announcement was made on Wednesday by Minister for Foreign Trade and Development Cooperation Sjoerd Sjoerdsma during his visit to Kyiv.

"Ukraine is facing intense attacks, and an extremely difficult winter lies ahead. It is also vital for the security of us all that we continue supporting Ukrainians so they can keep resisting. That is why the government is taking another step," he said.

The Netherlands will accelerate the allocation of an additional €40 million to the Ukraine Energy Support Fund this year. The funding is intended for urgent restoration and repairs to energy infrastructure.

Ukraine's energy and water supply facilities are increasingly being targeted by Russian air attacks, resulting in extensive damage and destruction.

Dutch assistance will help repair damaged facilities, establish emergency reserves and train specialised personnel in the energy and water supply sectors.

In addition, the Netherlands will allocate €55 million for the supply of energy equipment and materials. Through the Netherlands Enterprise Agency (RVO), Ukrainian partners will be able to obtain the necessary products from Dutch companies.

The minister is visiting Kyiv alongside Koon van Oostrom, Chairman of the Confederation of Netherlands Industry and Employers (VNO-NCW). They will meet representatives of the Ukrainian government and Dutch companies operating in Ukraine to discuss strengthening business ties, establishing cooperation and removing obstacles to business activity.

The Dutch government is allocating funding to help businesses play a greater role in Ukraine's recovery and reconstruction while strengthening their presence in the Ukrainian market. In particular, €136 million will be directed towards several programmes, including the Ukraine Partnership Facility.

The government is also expanding export credit insurance opportunities to reduce financial risks for companies seeking to export goods to Ukraine. An additional €19.5 million will be allocated for this purpose, on top of the €60 million already earmarked.

"Support for recovery and reconstruction cannot wait until a ceasefire. Ukraine needs our help now — military assistance, but also social and economic support. Regardless of developments on the battlefield, energy systems, hospitals and food production must continue to function. Governments cannot manage this alone, which is why the role of business is crucial. That is why it is important that we have come here together with VNO-NCW. Companies that become involved now are helping to shape future partnerships, supply chains and opportunities," Sjoerdsma emphasised.

VNO-NCW Chairman Koon van Oostrom said he was impressed by Ukraine's ability to keep its economy functioning under extremely difficult circumstances.

"However, reconstruction is an enormous undertaking, and Dutch companies can play an important role in it. To achieve this, we need to work closely with the Ukrainian government and remove the obstacles businesses face. That is exactly what I will be discussing today," he said.

In addition, Minister for Foreign Trade and Development Cooperation Sjoerd Sjoerdsma and Ukraine's Minister of Economy Oleksandr Kravchenko will sign a letter of intent concerning a €10 million contribution to President Volodymyr Zelensky's Industrial Ramstein initiative.

The initiative aims to restore and modernise the production capacities of Ukrainian enterprises through the supply of machinery, equipment and other goods, including those sourced from the Netherlands.

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