The EBRD and the war in Ukraine: The long road to reconstruction

Key Points

• Russia’s invasion of Ukraine in February 2022 weighed heavily on the European Bank for Reconstruction and Development (EBRD) since both countries are shareholders in which the Bank has invested for three decades.

• The EBRD cut off Russia’s access to Bank resources in April 2022, but its shareholders remain divided over whether the country should be suspended.

• The EBRD’s Resilience and Livelihoods Framework has pledged €2 billion in support for Ukraine and affected countries.

• Early estimates of the cost of Ukraine’s recovery and reconstruction range from $349 billion to $750 billion, leaving the country in need of substantial external assistance.

• The EBRD is involved in international discussions over Ukraine’s economic future and the Bank is likely to play an important role in the country’s post-conflict development.