Ukraine has recieved tremendous financial support and pledges towards its economic recovery. Its economy has been destroyed since Russia began “special military operation” on its territory late February. Russia’s military operation, now in its fifth month, has destroyed significant infrastructure and severely crippled the economy.

According to reports monitored by this author, more than 40 countries have signed the final declaration of the Ukraine Recovery Conference held this month in Switzerland’s Lugano. The signatories reiterated their full support for the sovereignty and territorial integrity of Ukraine within its internationally recognized borders.

The countries recognized a Ukraine-led draft of the Recovery and Development Plan as an overarching framework guiding the recovery process, allowing for coordinated multi-stakeholder participation and partnerships.

The participants supported the establishment of an effective coordination platform between the Ukrainian government and all of its bilateral and multilateral partners, organizations and international financial institutions for the preparation and implementation of Ukraine’s Recovery and Development Plan.

The signatories stressed the importance of fair and transparent development of finance, lending and borrowing practices in accordance with international rules, standards and recognized principles in the process of Ukraine’s recovery.

Ukrainian Prime Minister Denys Shmyhal said that the Ukraine recovery plan was estimated at US$750 billion. Shmyhal, however, insisted that assets confiscated from Russia and Russian oligarchs should serve as a key source of Ukraine’s recovery.

Among other sources, he also mentioned international grants, easy loans by international financial institutions, private investments, and extra-budgetary contributions by private individuals and corporations. The Ukrainian budget will also be among the sources of the country’s recovery, Shmyhal said.

According to the German Economic Cooperation and Development Minister, Svenja Schulze, Germany is ready to host the next Ukraine Reform Conference in 2024. Recovery and reforms are elements of the strategic task for the coming years, which is why Germany will host a recovery conference of international experts, Ukrainian media outlets quoted Schulze as saying at the Ukraine Recovery Conference in Lugano, Switzerland.

In addition, the German government pledges grants totaling 426 million euros for direct support to Ukraine.

Swedish Minister for International Development Cooperation Matilda Ernkrans said, for her part, that Sweden would contribute another 6 million euros for Ukraine’s recovery. 

The money will be granted in coordination with the Ukrainian government and EU institutions to channel the funds to priority areas. About 1 million euros are assigned for nuclear safeguards, alongside 0.5 million euros for demining. In all, the assistance to Ukraine has exceeded 380 million euros since February 24, Ernkrans said.

In turn, the Netherlands have allotted another 200 million euros for helping Ukraine via the International Monetary Fund, Dutch Foreign Trade and Development Cooperation Minister Liesje Schreinemacher. In furtherance of the effort towards meeting the most pressing financial needs of Ukraine, Schreinemacher announced another 200 million euros via the IMF administered account. The money will fund current needs of the Ukrainian government, such as the payment of salaries to civil servants, teachers and doctors.

Denmark will provide an assistance package of 13.5 million euros to Ukraine, according to Danish Foreign Minister Jeppe Kofod. He said he was particularly pleased to announce the provision of a 13.5-million-euro package to support practical measures before the start of winter.

The participants have endorsed the Lugano Declaration outlining the following seven guiding principles of the country’s recovery process (Lugano Principles): partnership, reform focus, transparency, democratic participation, multi-stakeholder engagement, gender equality and inclusion, and sustainability at the Ukraine Recovery Conference in Lugano, Switzerland.