The first two tranches of EUR 100 million each, out of a planned total of EUR 450 million, are expected to be approved in the near future, tentatively by the end of 2023.

The funds will be allocated to two projects:

• Ukraine Recovery III FL (EUR 250 million, first tranche EUR 100 million): to finance critical social and municipal infrastructure. This includes the restoration of infrastructure damaged by the russian aggression and the construction of new basic infrastructure to ensure decent living conditions for displaced people and host communities;
• Ukraine Water Recovery FL ( EUR 200 million, first tranche EUR 100 million): to finance investments in critical water infrastructure in areas directly affected by the war or hosting significant numbers of IDPs. This includes the restoration of water supply and sewerage systems, including measures to address the consequences of the destruction of the Kakhovka dam.

The European Investment Bank (EIB) funds will be provided within the framework of cooperation with Ukraine, the principles of which are set out in the Memorandum of Understanding signed in London on 21 June on the sidelines of the URC 2023 Conference. The Memorandum foresees the provision of loans totalling some EUR 840 million for the implementation of priority projects aimed at restoring Ukraine’s infrastructure.

Subject to final approval by the EIB’s Board of Directors and the EU4U Donor Committee, the first tranches of EUR 100 million are expected to be signed by the end of this year.