| 2 December 2022, Friday |

World Bank board approves $1.49 billion in new funds for Ukraine

The World Bank’s executive board approved $1.49 billion in extra funding for Ukraine to assist pay government and social workers’ wages, bringing the bank’s total pledged contribution to more than $4 billion.

The latest cash is backed by financial assurances from the United Kingdom, the Netherlands, Lithuania, and Latvia, according to the World Bank. Parallel funding from Italy and contributions from a new Multi-Donor Trust Fund are also helping to fund the project.

Ukraine has said that it needs at least $5 billion per month in the near term to keep its government operating in the face of the invasion by Russia in February and fighting that has shut down vast portions of its economy. Finance leaders from the Group of Seven industrial democracies last month pledged $9.5 billion in new funding, bringing their non-military support to nearly $20 billion.

The World Bank has been working with donor countries to use its various financing programs to support health care, education, social services, power and water supplies and roads.

The core services were “essential to preventing further deterioration in living conditions and poverty in Ukraine beyond the suffering inflicted because of the war,” World Bank Eastern Europe country director Arup Banerji said in a statement.

Such services would also be “the bedrock of any recovery and reconstruction,” Banerji added.

  • Reuters