EIB invests €2 billion in recovery and reconstruction projects in Ukraine

The European Commission and the European Investment Bank(EIB) have signed a guarantee agreement that will allow the EIB to provide at least €2 billion for priority recovery and reconstruction projects in Ukraine.

The document was signed on 6 March during a forum in Luxembourg, according to the Ministry of Economy of Ukraine.

The funding is part of the EU's financial support mechanism for Ukraine «Ukraine Facility».

The money will be used to strengthen Ukraine's energy sector, including hydropower development, renewable energy production and energy efficiency.

The funding will help modernise the railway and public transport and improve transport links between Ukraine and the EU. The money will also be used to restore water and heat supply systems, street lighting, schools, hospitals and higher education institutions.

The Cabinet of Ministers has also allocated an additional 5 billion hryvnias for 150 recovery projects in 12 regions. These include the repair and construction of hospitals, schools, kindergartens, restoration of water supply and energy efficiency.

Part of these funds was allocated for recovery projects in Pivdenoukrainsk — 16.6 million hryvnias.