As of December 14, 2023, the World Bank has mobilized more than $39 billion in commitments and pledges to be channeled through Bank projects, with most of this money disbursed. About 94% of this mobilized capital comes from donor countries.
These commitments and pledges leverage innovative instruments, such as IBRD and IDA loans, IBRD loans guaranteed by partners, donor grants and equity, IFC blended finance and MIGA guarantees.
These donor resources have been essential for Ukraine to sustain public service delivery and undertake essential repairs.
Providing adequate budget support to keep the government running and to provide essential services has been critical over the last two years. Without this support, it would be much more expensive to rebuild the economy and more people would have fallen into poverty.
This support has reached 15 million Ukrainians, and is helping to provide wages for first responders, government and school employees, pensions for the elderly, salaries for public servants, and social programs for the vulnerable.
Recovery (emergency repairs) now run simultaneously with continued support for essential services, and this is a big part of our current focus. In addition to budget support.
Our mobilized resources are reaching:
- 10 million pensioners, and wages for 500,000 education employees, 145,000 government employees, and 56,000 first responders
- More than 530 hospitals received emergency medical equipment and supplies, and 2,431 health service providers stayed open in 2022
- 12,817 schools remained open in 2022 through a combination of in-person, remote, and blended learning
- 3+ million vaccines delivered to children under 7 since March 1, 2022
- 800,000+ additional persons received medicines and/or medical products subsidized through the Affordable Medicines Program since March 1, 2022
- 2,800+ healthcare providers completed training to care for victims of gender-based violence since the end of 2022
- 55,000+ people accessing mental health services since November 1, 2022
- 160,000+people accessing rehabilitation services for mental and physical trauma since November 1, 2022
The World Bank’s Role
The World Bank is uniquely positioned to provide a fast and flexible platform for donor contributions. We primarily work in areas where others are not present such as in Ukraine’s social sectors including health, and soon in social protection.
The World Bank has also expanded existing projects, established multi-donor trust funds, and channeled guarantees and parallel financing from donor countries.
The World Bank will continue to support Ukraine, in close collaboration with bilateral and other MDBs, including the IMF and EU (on reforms), EBRD and EIB (on investment). The World Bank and other MDBs are harmonizing procurement practices in Ukraine.
The World Bank is uniquely positioned to help rebuild Ukraine thanks to its strong oversight practices and its expertise in reconstruction, particularly in agriculture, energy, infrastructure/transport and social sectors, as well as its global experience in supporting development-oriented reforms. We routinely monitor our Ukraine portfolio for evidence of fraud and corruption and have robust mechanisms in place to swiftly deal with any reports.
The World Bank (IBRD, IFC and MIGA) is also working with the Ukrainian government and partners to identify opportunities for private financing of Ukraine’s reconstruction. If the right conditions are created, we estimate that as much as one-third of Ukraine's future needs could be met with private sector financing.
The World Bank Operations [Projects]
Since the start of Russia’s invasion, donor support has been deployed through the World Bank’s project Public Expenditures for Administrative Capacity Enhancement (PEACE) to help the Government of Ukraine meet urgent needs, including the provision of core public services such as health, education, and social protection. This support has reached 15 million Ukrainians, and is helping to provide wages for, government and school employees, pensions for the elderly, salaries for public servants, and social programs for the vulnerable. The World Bank has deployed a range of mechanisms designed to monitor service delivery and check for fraud and corruption.
PEACE is widely viewed as having helped the government survive the war by sustaining its capacity to deliver essential public services.
To respond to priority needs, the World Bank has introduced Framework Projects to support recovery and build capacity for reconstruction in health, energy, transport, housing and agriculture. These are World Bank-supported emergency operations that mobilize partner resources through an innovative and flexible design that allows funds to be disbursed quickly, can be scaled as necessary, and can absorb additional financing as it becomes available. They include appropriate fiduciary, environmental and social safeguards. IBRD funding for these projects is secured thanks to the bilateral guarantees provided by development partners.
The Bank is also supporting investment operations to respond to the ongoing attacks on critical infrastructure—including financing to (i) build resilience into the power sector to help withstand Russian attacks, reorient transportation links to support exports and maintain humanitarian routes, and repair housing damaged by missile attacks; and (ii) to support economic recovery—including, under a recently approved project, by restoring agriculture production by helping more than 90,000 farmers access affordable loans and receive grants for agricultural production, and to strengthen the social safety net.
To swiftly mobilize efforts for reconstruction, the World Bank has established the Ukraine Relief, Recovery, Reconstruction and Reform Trust Fund (URTF), a multi-donor fund to channel grant contributions from donor partners. The URTF’s objectives are to help sustain the country’s administrative and service delivery capacity, and conduct relief efforts, as well as to support the planning and implementation of Ukraine’s recovery, resilient reconstruction, and reform agenda.
The URTF supports the World Bank’s Framework Projects and ensures that Ukrainian authorities can quickly and effectively utilize these critical investments and leverage the multiple sources of financing efficiently and at scale.
The World Bank Group’s Multi-Donor Resources for Institutions and Infrastructure (MRII - МРІЇ) for Ukraine is a facility established to support Ukraine through a coordinated approach among the World Bank, IFC, and MIGA. The MRII takes a phased and multi-pronged approach to mobilizing financing and coordinating sources of support through guarantees, co- and-parallel financing, and other financial instruments. All MRII instruments allow donors to help Ukraine in addressing its immediate needs to sustain key public services, the private sector, and wider recovery and reconstruction needs identified in the RDNA2.
IFC launched a $2 billion Economic Resilience Action program to support Ukraine's private sector during Russia’s invasion. Since February 2022, IFC has committed $611 million to bolster Ukrainian agriculture, financial and technology sectors, help implement urgent repairs in the residential sector and support municipalities hosting IDPs. This includes $304 million in guarantees to support critical exports and imports of grains and other staples, $214 million in support for agribusiness, and $70 million for the tech sector. It also includes €40 million risk-sharing facility to help Ukrainian financial institutions expand lending to smaller businesses, with a quarter of financing earmarked for women-owned SMEs. In addition to financial support, the IFC’s program includes analytical work, advisory services, and pre-investment projects to enable private investment in Ukraine’s reconstruction.
MIGA has issued more than $215 million in political risk insurance guarantees to Ukraine since the war began. To address the shortage of insurance capacity for war risk, MIGA has established a trust fund that has been seed-funded by Japan. This and future donor contributions, combined with MIGA’s own capital, could help mobilize public and private reinsurance in support of projects in the energy, agribusiness, manufacturing, and logistics sectors. MIGA also is partnering with EBRD to support short-term trade finance guarantees for Ukraine to serve humanitarian needs and help keep industries like agriculture going while providing critical imports needed for production.
MIGA expects the SURE Trust Fund, which was established with Japan’s critical anchor contribution of $23 million, to grow to $300 million through contributions from additional donors. Japan has contributed additional $2 million, Norway has contributed $22 million, and Belgium has contributed €1 million. The UK government also has pledged to contribute.
Donor governments: The United States, Austria, Belgium, Canada, Denmark, Finland, Germany, Italy, Japan, Latvia, Lithuania, Iceland, Indonesia, Ireland, Japan, the Netherlands, Norway, the Republic of Korea, Sweden, Switzerland, Spain, and United Kingdom.
IFIs: EIB, EBRD, EC, IMF, CEB
Learn more: World Bank Financing Support to Ukraine
Last Updated: Dec 15, 2023