Ukraine Reconstruction May Cost $1.1 Trillion, EIB Head Says

22

Ukraine Reconstruction May Cost $1.1 Trillion, EIB Head Says: Werner Hoyer, the head of the European Investment Bank, estimates that in order for Ukraine to restore the damage caused by Russia’s invasion, the country may require as much as one trillion euros ($1.1 trillion) in aid from other countries.

“I’ve put the trillion out there because I saw figures in the public space that I consider completely unrealistic when I look at the level of destruction” in Ukraine, Hoyer, who runs the lending arm of the European Union, said. “I’ve put the trillion out there because I saw figures in the public space that I consider completely unrealistic when I look at the level of destruction.” In response to a question from the press in Frankfurt, he stated that Europe “will have to play the biggest part” in this endeavor.

The price tag was released just before a meeting of EU leaders that will take place on Thursday and Friday in Brussels to discuss Ukraine’s strategy for reconstruction and the country’s application to join the bloc. Midway through the month of May, the European Commission made the initial proposal for the most recent aid package, which was intended to meet a portion of Ukraine’s monthly financial requirements, which are approximately 5 billion euros.

Continue reading: This week, the European Union intends to finalize a loan package for Ukraine that is worth $9.5 billion.

It is possible that the European Investment Bank may take the lead in transferring funds from the EU to the troubled country. According to a report from Bloomberg from earlier this month, the German government has indicated that they prefer this route for the billions of euros that are anticipated to flow from the bloc.

In addition to this, Hoyer mentioned that he is attempting to re-allocate EIB commitments for the reconstruction effort in Ukraine that range from one billion to one and a half billion euros. According to what he stated, he could gain approval for that as soon as this week.