EU pledges billions to aid Ukraine's energy and reconstruction
President of the European Commission Ursula von der Leyen pledged billions of pounds in aid to Ukraine from the European Union. During a conference held in Berlin regarding Ukraine's reconstruction, she announced that £1.6 billion in financial aid will soon be made available to the country.
The Head of the European Commission added that Kyiv would receive another £1.3 billion from the interest earned on frozen Russian assets in the West. These funds will be used in July.
Von der Leyen also responded to Ukraine's President Volodymyr Zelensky's request for assistance in the energy sector, which has been particularly affected by Russian attacks. According to the German portal Tagesschau, the EU has mobilized nearly £450 million for urgent repairs in this sector.
Kiev: we need billions
Ukrainian Prime Minister Denys Shmyhal also discussed the vast needs of Kyiv in Berlin.
Ukraine needs £9 billion to £27 billion in investments annually over the next 10 years, the politician assessed.
"It is important for us that the support from our partners is predictable, rhythmic, and stable. We need reconstruction, access to foreign markets, and better logistics. We need foreign investments and technology transfers from our partners. Ukraine needs £9 billion to £27 billion in annual investments over the next 10 years," Shmyhal wrote on Telegram.
The head of the Ukrainian government added that "several programmes stimulating the economy, which yielded positive effects," have been launched in Ukraine. Last year, GDP grew by 5.3%. In the first four months of this year, it grew by 4.4%," noted Shmyhal. Ukraine's economy shrank by approximately 30% in the first year of the Russian invasion.
Shmyhal emphasized that after Russia's unprecedented attacks on Ukraine's energy system, this sector requires special support. He noted that Ukraine needs to strengthen its air defence, acquire more energy equipment, simplify and expand electricity imports, and receive assistance in decentralizing the energy system.
