The World Bank approved a $3.4 billion program for Ukraine: the money will go to jobs and business development

The World Bank Board of Directors has approved the First Development Policy Program “Jobs in Ukraine and Private Sector Growth”, which provides for financing in the amount of $ 3.39 billion.

This was reported by the World Bank.

The program is aimed at supporting government reforms, creating new jobs, attracting investment and strengthening the role of the private sector in Ukraine’s economic recovery.

How will the financing be distributed

The total assistance package includes:

$ 1.04 billion in loans from the World Bank;

$ 540 million in credit enhancement from the ADVANCE Ukraine Fund with the support of the Government of Japan;

$ 500 million in guarantees from the Government of the United Kingdom;

$ 2.35 billion in grant support from the F.O.R.T.I.S. Fund.

The World Bank notes that despite the difficult security situation, Ukraine continues to implement reforms that form the basis for future economic growth and integration into the European Union.

What will the funds be used for?

The program provides for the implementation of reforms in three key areas.

The first is to stimulate private investment. This involves improving public-private partnership mechanisms, developing financial instruments for small and medium-sized businesses, and continuing privatization processes.

The second area is to address the personnel crisis. The government plans to modernize housing policy, support veteran entrepreneurship, expand employment opportunities for women, and reduce the gap between workers’ skills and market needs.

The third block concerns the integration of Ukrainian markets with Europe. This includes reforming agricultural payments, synchronizing the energy sector with European markets, and strengthening environmental control.

In fact, we are not only talking about financial assistance, but also about a strategic reboot of the Ukrainian economy with an emphasis on private initiative, employment, and European development standards.