EU sets up world's largest fund for Ukraine's reconstruction

She said it would be "the world's largest private equity fund" focused on the country's post-war recovery, Politico reported.

"This fund, together with the private sector, will kick-start large-scale investments in energy, transport, strategic raw materials and dual-use industries," von der Leyen said.

She said the EU is "betting on Ukraine's future" by using public funds to attract capital from the private sector and kick-start the recovery process.

Among the countries that have already agreed to participate in the formation of the fund are Italy, Germany, France, Poland and the European Investment Bank. Von der Leyen expressed hope that others would join the initiative:

"The people of Ukraine are ready to lead the economy forward. It is time to invest."

The exact parameters of the fund and the volume of funds have not been made public yet. However, according to Ukrainian Finance Minister Serhiy Marchenko, the country will need at least 40 billion dollars in external financing in 2026. Most of the state budget continues to be allocated to defence.

"Ukraine needs regular and predictable external financing to maintain the macroeconomic stability achieved since 2022 and create a basis for recovery," he said.

The full-scale invasion of Russia has caused destruction to hundreds of Ukrainian cities, and despite the efforts of the international community, aggression does not stop: daily shelling and attacks on civilian infrastructure are recorded.

In April, Kiev signed an agreement with Donald Trump's administration on the creation of the US-Ukrainian Investment Fund for Recovery, which will be financed, among other things, by future revenues from the development of natural resources.

At the conference in Rome, von der Leyen also emphasised that Europe remains Ukraine's largest donor, with the EU providing some €165 billion in aid since 2022 and plans to maintain support until 2028.

"This year alone we will cover 84 per cent of Ukraine's external financing needs. As part of this support, I am announcing €1 billion in macro-financial assistance and over €3 billion from the Ukraine Facility," she said.

According to estimates of the Ukrainian Ministry of economy, to restore the destroyed infrastructure over the next 10 years will require about 524 billion dollars (about 450 billion euros).

We shall remind you that the International Conference on Ukraine's Recovery (URC2025) is taking place in Rome on 10-11 July 2025. This is the fourth event of such a level, bringing together representatives of more than 100 countries, international organisations, business community, municipalities and experts to agree on joint actions for the reconstruction and development of Ukraine.

During the opening ceremony, the President of Ukraine Volodymyr Zelensky thanked all the countries that are members of the coalitions in support of Ukraine's defence. He stressed that the joint efforts of such associations yield real results - from supplies of drones and modern combat aircraft to work on the return of Ukrainian children kidnapped by Russia. Zelensky noted that now is the time to create a coalition for reconstruction.

"We need a systematic approach - a coalition with clear leadership from countries and companies that can lead others. We also need a clear recovery plan. Ukraine's recovery is not only about our country, but also about your countries, your companies, your technologies, your jobs - the way we rebuild our country can contribute to the modernisation of your infrastructure and industry," the Ukrainian President said.

Oleksiy Kuleba, Deputy Prime Minister for Ukraine's Reconstruction - Minister of Community and Territory Development, said in a comment that the conference will focus not only on the physical restoration of social infrastructure, but also on creating favourable conditions for business investment, which will help fill local budgets and create jobs, especially in frontline communities.

"At URC2025, Ukraine gives a clear signal: the reconstruction of our state is a real daily process that continues despite constant shelling by Russia. We present concrete achievements, examples of effective co-operation and new projects that investors can join today," he added.

The Ukraine Recovery Conference (URC2025), taking place on 10-11 July in Rome, is the next important stage of international support for the post-war reconstruction process. URC2025 should become not only a platform for discussing reconstruction, but also a symbol of the irreversibility of Ukraine's European course and shared responsibility for the security and development of Europe.