As of the end of 2024, the total amount of direct losses in the Kharkiv, Donetsk, Luhansk, Zaporizhzhia, and Kherson regions has exceeded 116 billion dollars. In addition to these regions, Mykolaiv, Sumy, Chernihiv, Dnipropetrovsk, and Odesa regions continue to live and work under challenging security conditions, which significantly affects their economic stability and development opportunities.
This is reported by Finway
National Development Institution: New Opportunities for Regions
Recently, the president signed a law that provides for the establishment of the National Development Institution (NDI). Thanks to this initiative, frontline regions will gain expanded access to modern financial instruments to address the consequences of the war and restore infrastructure.
“The Association of Frontline Cities and Communities welcomes this decision and proposes to allocate a separate targeted direction in the work of the NDI, specifically to create a Recovery Fund for Frontline Cities and Communities,”
Goals and Functions of the Future Recovery Fund
The primary goal of establishing the Recovery Fund is to consolidate various financial mechanisms into a single center. It is expected that the fund will combine insurance, lending, grant provision, compensation, and investment attraction tools. This will enable effective coverage of losses, financing of critical development projects, compensation of insurance premiums, and support for local entrepreneurs without waiting for changes in national procedures.
The establishment of such a fund is intended to significantly accelerate the process of economic recovery and ensure the resilience of frontline cities and communities in the face of ongoing security challenges.