Switzerland Commits $1.76 Billion for Reconstruction Projects in Ukraine

by Roman Cheplyk
Thursday, October 3, 2024
3 MIN
Switzerland Commits $1.76 Billion for Reconstruction Projects in Ukraine

Significant financial support will focus on self-government projects, demining efforts, humanitarian aid, housing for internally displaced persons, and digital development

Key Highlights

  • Total Funding: Switzerland will provide 1.5 billion Swiss francs (approximately $1.76 billion) over the next four years to support Ukraine's reconstruction.

  • Allocation of Funds:

    • 1 billion francs ($1.17 billion) dedicated to self-government projects, demining, and humanitarian aid.
    • The remaining funds will involve the Swiss private sector in implementing reconstruction projects.
  • Focus Areas:

    • Construction of housing for internally displaced persons (IDPs).
    • Activation of regional programs to expand cooperation.
    • Digitalization and regional development projects.
    • Support for Ukrainians affected by the war, including IDPs, people with disabilities, and residents of de-occupied regions.

Meeting Details

The agreement was reached during a meeting between Oleksiy Kuleba, Deputy Prime Minister of Ukraine, and Felix Baumann, Ambassador of Switzerland to Ukraine. The Ministry of Community Development, Territories and Infrastructure of Ukraine reported the outcomes of the meeting.

Oleksiy Kuleba highlighted the expansion of cooperation to include additional areas, notably the construction of housing for the over 4.5 million internally displaced persons in Ukraine. He emphasized the importance of activating regional programs to make full use of the funding offered by Switzerland.


Involvement of the Swiss Private Sector

  • The Swiss government plans to involve the private sector in reconstruction efforts.

  • A delegation of Swiss private companies is currently in Kyiv to assess medium and long-term needs.

  • Felix Baumann stated:

    "To emphasize the seriousness of our intentions, our representative will work here, who will be responsible for the implementation of this project. Right now, a delegation of the private sector is working in Kyiv, getting to know the needs of Ukraine in the areas for which the ministry is responsible, in the medium and long term."

Baumann noted that his frequent visits to various regions in Ukraine have provided a better understanding of the country's needs. Switzerland has a history of supporting Ukraine through decentralization initiatives, reconstruction projects, collaboration with Ukrzaliznytsia (Ukrainian Railways), and assistance in preparation for the heating season.


Areas of Cooperation

  • Decentralization and Regional Policy: Discussed as an important area of cooperation between the Ministry and the Swiss government, aiming to contribute to more effective regional policy formation.

  • Collaboration with SECO: The Ministry held a meeting with a delegation from the State Secretariat for Economic Affairs of Switzerland (SECO). SECO representatives presented a plan to support Ukraine's recovery, emphasizing the involvement of the Swiss private sector.


Additional Funding for Digitalization and Development

From 2024 to 2028, Switzerland will allocate an additional 58.7 million Swiss francs (approximately $68.1 million) for digitalization and regional development projects in Ukraine. Funds will be directed toward:

  • Digital Development of Front-Line Communities: Ensuring that every Ukrainian has convenient and comfortable access to services.

  • Support for Vulnerable Populations: Assisting internally displaced persons, people with disabilities, and residents of de-occupied regions affected by the full-scale war.


Conclusion

Switzerland's commitment of $1.76 billion over the next four years represents a significant contribution to Ukraine's reconstruction efforts. The focus on self-government projects, demining, humanitarian aid, housing for internally displaced persons, and digitalization aligns with Ukraine's priority needs as it continues to recover from the impacts of the ongoing conflict.

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