To rebuild bridges and roads: where Ukraine will receive funds to restore Russia destroyed by Russia
Focus writes about it in the new article "Billions for Reconstruction. How to restore Russia to Ukraine and where to get money from it. " The main estimate of the country for the next year is generally infrastructure expenditures per UAH 8. 5 billion. In particular, it has the following subsidies to local budgets: all these programs will be funded by international partners, emphasized at the Center for Analysis of Public Finance and Public Administration of the Kyiv School of Economics.
In addition, international organizations finance certain areas of reconstruction. For example, the International Bank for Reconstruction and Development sells a project for the construction of new water pipes for UAH 0. 5 billion. Among international financial organizations, the European Investment Bank shows activity. Since the beginning of the war, the EIB, with the support of the European Commission, has paid more than 1.
7 billion euros to Ukraine, which went to the urgent needs for reconstruction of the country's infrastructure. The EIB also launched the EU for Ukraine initiative to support Ukraine's restoration and reconstruction. Communities are also involved in recovery. However, the powers of territorial communities to finance rebuilding are limited.
"On their own, local budgets can only finance their own (municipal) institutions and property owned, as well as accept programs for maintaining the restoration of residents' housing," KSE said. In addition, their financial capabilities next year, after withdrawal of "military PIT" will be reduced. "Within the limits of their local opportunities, ongoing repairs may be done. And it will depend on how much the community can afford it.
There will be no serious projects of large construction at the state level, except strategic bridges," the political scientist and financier Alexei Buryachenko commented. The resources and the funds of the elimination of the consequences of armed aggression - a special fund within the budget are not calculated. In 2024, the National Bank will send UAH 17. 7 billion of its net profit to the general fund of the state budget.
According to the World Bank estimates, approximately $ 411 billion is required to restore and restore Ukraine for the next 10 years. The money that Ukraine receives from international partners for rebuilding is much smaller than budget assistance.
"Despite the great desire of international partners to participate in the restored Ukraine, however, the lion's share of their financial assistance is money, which is directed to the state budget for providing, first of all, financial stability - financing of social and humanitarian expenditures, as well as to cover the shortage state budget, " - said focus in KSE.
However, in addition to direct financial assistance, international partners, including the European Union and the United States, are intensively working on the possibility of transferring frozen Russian assets to Ukraine, which will be aimed at the need to rebuild and restore our country, have added analytics.
EU leaders are looking for ways to transfer income from assets of the Russian Federation in accordance with applicable contractual liabilities and international law "EU leaders have approved a plan for the transfer of income from frozen Russian assets in the EU, which has already been accumulated by approximately 3 billion euros.
Also, as noted by Voice of America , the Committee on Foreign Affairs of the House of Congress of US Congress has approved a bill to send frozen Russian assets to help Ukraine. EU and US decisions are good signals for Ukraine and directly to Russia that it will still have to pay for crimes committed in our country, ” - emphasized in KSE. We will remind, in the approved budget-2024 part of the tax on the income of the military will be credited in full to the state budget.