The European Bank for Reconstruction and Development (EBRD) plans to invest €1.5 billion ($1.54 billion) in Ukraine this year, according to Bloomberg.
"Planning is a difficult thing in Ukraine” and “more is possible if we find the right deals.Infrastructure, energy security are two top priorities and then comes the private sector and resilience in food security," said Arvid Tuerkner, EBRD Managing Director for Ukraine and Moldova.
Last year, the London-based bank invested a record amount of nearly €2.4 billion in Ukraine after increasing its statutory capital by €4 billion. The EBRD focused its energy financing on decentralized small-scale generation facilities to help ensure uninterrupted power supply for households and businesses. (The publication reminded readers that ongoing Russian missile and drone attacks on Ukrainian power plants cause widespread electricity outages.)
According to Tuerkner, while the EBRD provided loans to Ukrainian state-owned companies, including railways, over 50% of its investments last year went to private businesses. He added that this share will remain roughly the same in 2025, as the bank sees "strong growth prospects in the agricultural sector," which is central to Ukraine's economy.
Tuerkner emphasized that Ukraine must make progress in combating corruption and pursuing judicial reform to improve its investment climate, as there is hope that reconstruction could begin this year following a ceasefire or peace agreement.
"Reforms are important and we want to help as much as we can," he said, noting that the Ukrainian government has achieved "a great deal" despite the war.
Tuerkner also urged the Ukrainian government to advance corporate governance reforms, as state-owned companies will play a significant role in the recovery. "This is why their governance, capabilities, transparency, and anti-corruption efforts are critical for successful reconstruction," he stressed.
