PM: Ukraine to receive €100 million from EIB for water and sewage systems

Ukraine and the European Investment Bank (EIB) have reached an agreement on €100 million in funding for the restoration of critical infrastructure, specifically water supply and sewage systems.

The total EIB project portfolio in Ukraine currently stands at €4.3 billion, Ukrainian Prime Minister Denys Shmyhal announced on Telegram, Caliber.Az reports via Ukrainian media.

"Ukraine and the European Investment Bank have agreed on €100 million in funding within the framework of the Ukraine Facility instrument," Shmyhal stated.

According to him, these funds will be allocated for the restoration of water supply and sewage systems, ensuring they meet modern standards.

"Another decision by the government today opens the way for a new EIB tranche of €100 million to restore critical and social infrastructure," the Prime Minister added.

The funding will support water and heating supply, education, healthcare, and housing for internally displaced persons (IDPs).

Through cooperation with the EIB under this program, we are implementing over 400 projects, some of which have already been completed. More than 200 additional projects are set to be finalized this year and next," Shmyhal said.

Shmyhal also announced that Ukraine has secured another €100 million (over UAH 4.8 billion) from the Council of Europe Development Bank under the HOME project. These funds will be used for compensating homeowners whose properties were destroyed under the "єВідновлення" (eRecovery) program.

"Last year, the bank helped finance 2,800 housing certificates. Thanks to the new funding, we will be able to issue another 3,600 certificates for housing purchases," he stated.

Additionally, Shmyhal announced a new measure to provide housing for IDPs.

"The Council of Europe Development Bank is providing Ukraine with €50 million, which will be used for preferential loans benefiting around 1,100 displaced families," the Prime Minister noted.

Shmyhal also highlighted the World Bank’s role in financing housing reconstruction, particularly through the "HOPE" initiative.

"Through this initiative, more than 87,000 Ukrainians have already received compensation for damaged housing. Additionally, we plan to restore up to 200 apartment buildings under the HOPE project," he said.

Shmyhal emphasized that the EIB’s total project portfolio in Ukraine is currently valued at around €4.3 billion, covering critical infrastructure, housing, energy, transport, education, social policy, and digitalization.

The EIB is owned by the 27 EU member states and serves as the largest borrower on international financial markets, facilitating investment through both lending and financial support mechanisms.

By Tamilla Hasanova