Since the onset of Russia’s full-on hostilities in February 2022, Ukraine has suffered immense losses, with over 50 million square meters of housing either destroyed or severely damaged due to Russian aggression, revealed Olena Shuliak, leader of Servant of the People political party, at the “Rebuilding Ukraine” conference hosted by Ekonomichna Pravda.
Shuliak detailed the extensive damage, noting that the scale of destruction over the past two years would normally take five years to rebuild. “In 2023 alone, we received 98,000 claims for damaged housing, with 52,000 of those already processed and 5 billion hryvnias (135 million USD) distributed in compensation,” she stated.
The Ukrainian government has responded by issuing housing certificates to those whose properties were destroyed, allowing them to purchase new homes, including in border regions. “Kyiv and the Kyiv region lead in relocation, but many are also choosing to live in the Kharkiv and Chernihiv regions,” Shuliak added.
It was recently reported by Bloomberg that Ukraine’s reconstruction could exceed $1 trillion, surpassing the Marshall Plan’s scale. Besides, recently, UNESCO found that 1,443 buildings at 177 different scientific institutions across Ukraine have been damaged or destroyed by Russian attacks. Rebuilding the scientific infrastructure alone is estimated to cost over $1 billion.
Despite ongoing war, with 18% of Ukraine under Russian control, international and local companies are positioning themselves to partake in this significant rebuilding initiative. Turkish firms like Aksa Power Generation and Onur Group are already involved in repairing critical infrastructure and providing essential services. German and Austrian companies are also making significant inroads, with ventures planned in defense and infrastructure development, such as Rheinmetall AG’s artillery ammunition production and Waagner-Biro’s bridge construction projects.
The reconstruction promises not only to restore but to transform Ukraine into a more robust and transparent system, according to Mustafa Nayyem, head of Ukraine’s State Infrastructure and Reconstruction Development Agency. He envisions a future where Ukraine surpasses its Soviet-era infrastructure standards. As the competition for reconstruction contracts intensifies, companies with experience in challenging environments may find themselves at an advantage. This massive undertaking will require a comprehensive approach, focusing not just on financial investment but also on the socio-economic recovery of the war-torn nation, as emphasized by the European Bank for Reconstruction and Development.
In February, Richard Branson has pledged assistance to rebuild Ukraine’s aerospace industry, which has been severely damaged by the war. His support aims to aid in the industry’s recovery post-war. Earlier, in summer 2023, Ukraine has initiated the “We Build Ukraine” campaign to garner global support for its reconstruction efforts. “We build Ukraine is an institutional partnership with everyone who is already helping to rebuild Ukraine or is planning to do so,” Mustafa Nayem stated, according to Ukrinform. “We need robust investments to rebuild our roads, bridges, and other critical infrastructure, as well as to revive our energy and agricultural sectors.” The first village, destroyed by Russia, was being rebuilt as part of this initiative.
Ukrainian government has received over 640,000 reports of housing damage or destruction through the ‘Diya’ public services app since its inception, highlighting the ongoing and widespread impact of the war on Ukrainian civilians, Shuliak reported. This situation underscores the critical need for continued support and accelerated rebuilding efforts to address the most pressing humanitarian crises in Europe’s recent history.
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