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Ministry for Communities and Territories Development: Results of the Ukraine Recovery Conference URC2025

Ministry for Communities and Territories Development of Ukraine, posted 13 July 2025 14:42

On July 10-11, the Ukraine Recovery Conference (URC2025) was held in Rome, a large-scale international event that became an important step in shaping the policy for the recovery, transformation, and long-term development of Ukraine.

“URC 2025 has become a platform for presenting concrete recovery results, effective investment management, launching new public-private partnership instruments, and strengthening trust in Ukraine as a reliable partner. We received a clear message from Ukraine’s friends and partners: they are ready to invest in our recovery. This was evidenced by the initiative to create the ‘Recovery Coalition’, the European Flagship Fund for the Reconstruction of Ukraine, as well as the signing of a number of specific agreements, memorandums, and joint statements totaling over EUR 3.5 billion,” emphasized Oleksii Kuleba, Deputy Prime Minister for Restoration of Ukraine – Minister for Communities and Territories Development.

In particular, the Ministry for Communities and Territories Development signed 5 agreements worth the equivalent of over EUR 370 million:

  • Framework loan agreement between Ukraine and the Council of Europe Development Bank for EUR 100 million. The financing will be directed to compensation in the form of housing certificates, within the framework of the eVidnovlennia (eRecovery) program (project “NOME: Compensation for Destroyed Housing”).
  • Grant Agreement between the Government of Ukraine and the Government of the Italian Republic for EUR 32.5 million for the Program “Restoration and Preservation of Cultural Heritage of Odesa Region”.
  • Grant Agreement between the Government of Ukraine and the Government of the Italian Republic for EUR 6 million, for the Program “Restoration and Reconstruction of Irrigation Systems of Odesa Region”
  • Financing agreement between Ukraine and the European Investment Bank for EUR 134 million for the Project “Restoration of Transport Networks”. This concerns the restoration of critical transport infrastructure: roads, bridges, logistics hubs in regions with increased traffic load. In particular, about routes that provide access to medical, humanitarian and administrative services in Ukrainian communities.
  • Letter of Amendment No. 3 to the Grant Agreement between Ukraine and the IBRD and IDA for USD 116 million (the “RePower” project). This concerns the implementation of new projects to restore electricity and heat supply to social and critical infrastructure in seven cities (Mykolaiv, Kryvyi Rih, Kremenchuk, Slavuta, Kharkiv, Chernihiv, Sumy) that were destroyed due to russian military aggression.

Six memorandums worth approximately EUR 379.3 million were also signed:

  • With the Belgian Agency for International Cooperation Enabel and its Representative Office in Ukraine. The agreement concerns the transfer by the Belgian side to Ukraine of 212 generators to schools, kindergartens and municipal enterprises, 40 mobile and 14 modular boiler houses to municipal enterprises in Kyiv, Chernihiv, Kharkiv, Dnipropetrovsk, Zaporizhzhia, Odesa and Sumy regions. The total amount of international technical assistance to Ukraine from the Belgian side is envisaged at EUR 150 million.
  • Between the Ministry for Communities and Territories Development of Ukraine, the Ministry of Education and Science of Ukraine and the Ministry of Foreign Affairs of Switzerland, represented by the Swiss Agency for Development and Cooperation, on the implementation of the Swiss-Ukrainian project “Decentralization for the Development of Democratic Education” (DECIDE) – Phase 2 for the amount of about EUR 20 million. It concerns the reform of education management at the local level, support for the restoration and development of communities through the active participation of young people.
  • With the EBRD within the framework of the Road Sector Pipeline Development Initiative. This involves the Bank financing the development of technical documentation with a list of priority projects for the rehabilitation of highways. It is possible to attract EUR 300,000 for this initiative. A priority list of projects worth EUR 2 billion will also be selected, in which international financial institutions will be able to invest.
  • Between the Ministry for Communities and Territories Development of Ukraine, the Agency for Restoration and Infrastructure Development of Ukraine and the Polish Industrial Development Agency, on the potential development of joint projects (development and repair of the Yahodyn checkpoint and repair of two highways (Lviv bypass; Krakovets-Lviv-Shehyni road) and the possibility of developing other projects. This concerns the potential attraction of funds in the amount of EUR 200 million.
  • Between the Ministry for Communities and Territories Development of Ukraine, the Agency for Restoration and Infrastructure Development of Ukraine and NPLUS SRL (Italy). This concerns a proposal for a pilot project for monitoring the condition of the bridge connection (Boryspil direction). Possible attraction of funds – EUR 2 million.
  • Ukrainian State Air Traffic Services Enterprise (UkSATSE), Leonardo S.p.A. and ENAV S.p.A. (Italy) on the implementation of the Action Plan for the potential restoration of air traffic management in Ukraine after the end of hostilities (UARRP) and two contracts for the free transfer of five primary radar systems and related equipment to restore the basic functions of the UkSATSE surveillance infrastructure. This concerns the possible financing of EUR 7 million.

4 joint statements were made, 1 announcement of grant funding was made, and 1 approval was received for the allocation of funds for a total of EUR 232.7 million:

  • The Ministry for Communities and Territories Development of Ukraine, the Italian Ministry of Foreign Affairs and the Council of Europe Development Bank (CEB) for additional financing of the project “HOME: Compensation for Destroyed Housing” in the amount of EUR 100 million. The financing will be directed to compensation in the form of housing certificates, within the framework of the eVidnovlennia program (“HOME: Compensation for Destroyed Housing” project).
  • The Ministry for Communities and Territories Development and the CEB for the implementation of the Project “Optimization of the Compensation Process and Strengthening the Institutional Capacity of the Parties Involved in the Housing Compensation Mechanism in Ukraine” in the amount of EUR 10.7 million within the framework of the eVidnovlennia program ( “HOME: Compensation for Destroyed Housing” project).
  • JSC “Ukrzaliznytsia” with EBRD on allocating a grant of EUR 44 million for the creation of a decentralized gas generation network, which will ensure the energy independence of Ukrzaliznytsia.
  • JSC “Ukrzaliznytsia” with EBRD on allocating a grant of EUR 10 million to improve the accessibility of stations, in particular for people with disabilities, elderly passengers, parents with children and other groups with reduced mobility.
  • Announcement by the Minister of Foreign Trade and Development Cooperation of the Netherlands on grant financing of the city hospital project in Zhytomyr in the amount of EUR 35.5 million.
  • The Steering Committee of Italy agreed to allocate a loan of EUR 30 million for the reconstruction of the Children’s Hospital in Odesa and EUR 2.5 million of technical assistance for the purchase of medical equipment.

Additionally, the Ministry for Communities and Territories Development of Ukraine signed a memorandum with the Ministry of Foreign Affairs and International Cooperation of the Italian Republic on insurance coverage of up to 100% for banks on export credits – up to EUR 1.5 billion. This concerns the possibility of mixed financing of projects for communities – a combination of concessional loans and grant funds, as well as facilitating the procurement of Italian goods and services for recovery needs with the involvement of companies, technologies and infrastructure solutions.

10 agreements were also signed between the EU and development banks with the certification of the Deputy Prime Minister for Restoration – Minister for Communities and Territories Development of Ukraine, Oleksii Kuleba, as part of the Ukraine Investment Framework to finance the areas of recovery, municipal infrastructure, energy, heat supply, transport, and business support, for the amount of EUR 929.3 million.

Additionally, the Ministry for Communities and Territories Development of Ukraine appealed to the President of the Council of Europe Development Bank (CEB) Carlo Monticelli with the initiative to consider the possibility of allocating EUR 140 million for the implementation of the first stage of compensation payments to internally displaced persons who lost their homes in temporarily occupied territories (EUR 80 million) and a new preferential mortgage lending program "Housing for Veterans" (EUR 60 million).

A political dialogue was also held with representatives of the Republic of Korea and the Economic Development and Cooperation Fund (EDCF) on the allocation of preferential lending for projects for the recovery and development of regions (in particular in the field of circular economy and waste management and transport).

Also, within the framework of the conference on the recovery of Ukraine URC2025, communities and regional administrations of Ukraine concluded a number of partnership agreements and agreed on further raising funds with European companies, regions and organizations. The total value of signed documents and agreements at the local level reaches almost 200 million US dollars.

These are examples of practical interaction of communities with international partners aimed at developing infrastructure, modernizing critical systems and attracting investments in production, medicine, and energy. Among them:

  • Bila Tserkva. A general contracting agreement was concluded between the management company of the Bila Tserkva industrial park – Astrobuild LLC, and Gualapack Ukraine LLC (60% of the company belongs to the Italian Gualapack Group). Construction of the first stage of the plant will begin in the city. The investment volume is EUR 13 million, including land preparation and utility networks.
  • Kropyvnytskyi. The city council signed a Memorandum with the Italian engineering company 3TI Progetti Italia Ingegneria Integrata S.p.A. on the reconstruction of the city children’s hospital. It is planned to create a modern medical space with an emphasis on accessibility, energy efficiency and inclusion. The estimated cost of the project is EUR 5.2 million.
  • Odesa region. Agreement between the Friuli-Venezia Giulia region (Italy) and the Odesa Regional Military Administration – an interterritorial partnership with funding of EUR 200,000. Includes projects in the field of civil protection.
  • Artsyz community (Odesa region). A grant agreement for EUR 200,000 was signed jointly with the Ukrainian Consortium for Reconstruction and LLC "TK MEGAVAT" – modernization of the water supply system and installation of new boiler houses.
  • Dobroslav community (Odesa region). An agreement for EUR 150,000 with the same consortium to create a network of modern access points to drinking water.

These are just a few examples that show how local initiative, supported by international solidarity, produces practical results – projects that bring sustainable development closer, improve the quality of life in communities and form the infrastructure of a new generation.

URC2025 clearly demonstrated that the restoration of Ukraine is not only about plans for the future, but also about today’s actions, agreements, launched programs, built facilities, and open opportunities for investors.

Restoration is about creating a new Ukraine: safe, modern, sustainable, with transparent rules, strong institutional capacity, and commitment to European values.

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