Ukraine needs $524B for reconstruction, recovery in 10 years: Report

​​​​​​​By Mucahithan Avcioglu

ISTANBUL (AA) - A total of $524 billion will be needed for Ukraine's reconstruction and recovery from the war with Russia, according to the Fourth Rapid Damage and Needs Assessment report on Tuesday.

"Considering almost three years since February 2022, as of December 31, 2024, direct damage has reached almost $176 billion," said the report by the World Bank, the Ukrainian government, the EU and the UN.

"Damage continues to be concentrated in the housing, energy and extractives, transport, commerce and industry, and agriculture sectors, with a major increase since the third report in the energy sector, reflecting increased levels of damage and destruction despite ongoing recovery efforts," it added.

The total needed is nearly 2.8 times the GDP of Ukraine, it said.

It emphasized the importance of mobilizing the private sector for Ukraine's successful recovery.

"The 2025 recovery and reconstruction priorities include both public investment projects and noninvestment programs totaling $17.32 billion, with investment projects estimated at $11.88 billion and non-investment programs at $5.44 billion for 2025," it noted.

The nine key sectors for Ukraine's recovery were grouped into three categories including social sector, infrastructure reconstruction and demining and civil protection.

"For public investment projects in 2025, $5.46 billion of financing has been secured, leaving a financing gap of $6.43 billion. For non-investment priority programs in 2025, $1.91 billion has been secured, leaving a financing gap of $3.53 billion," it said.

Prioritizing investments in recovery and reconstruction will be critical for Ukraine's accession to the EU and its long-term resilience, according to the report.