Cooperation in infrastructure and energy, regional development and the capital market were among the topics for discussion during an online meeting on November 8 between the Prime Minister of Ukraine Denys Shmyhal and the Managing Director, Executive Vice President of the International Finance Corporation (IFC) Makhtar Diop.

The Head of Government stressed that Ukraine is actively rebuilding its infrastructure and seeks to develop a public-private partnership (PPP) mechanism. According to him, IFC and the Ministry of Infrastructure have agreed on the first two sections of the road for future PPP projects: Lutsk - Poland's border and Kharkiv - Zaporizhia.

"We plan to conclude agreements with IFC by the end of this year. Construction at the expense of private investors will take place for the first time. It is very important to attract quality investors to the first pilot projects in order to scale the mechanism to a larger number of objects," said Denys Shmyhal.

The Prime Minister stressed the high level of cooperation with the IFC on the preparation of pilot projects for the concession of the seaports of Olvia and Kherson. He added that taking into account the positive results of the concession, cooperation will be continued at the Sea Commercial Port of Chornomorsk.

"We hope to speed up work on the implementation of other public-private partnership projects, including airports and railway station concessions," the Head of Government said.

According to Denys Shmyhal, Ukraine is also interested in developing public-private partnerships in the restoration of irrigation systems.

"Climate change and the challenges involved have recently brought together many world leaders in Glasgow. It is critical to find the right steps to adapt to climate change, and the development of an irrigation system is one of them. Ukraine is interested in cooperating with IFC to attract investors to the development of irrigation projects," said the Prime Minister.

Denys Shmyhal added that Ukraine's strategic goal remains joining the EU ENTSO-E energy system and developing renewable energy.

In addition, the Prime Minister noted that IFC had become the first international financial institution to sign an agreement on joining the capital of a Ukrainian bank with a state share and, accordingly, would become a shareholder of Ukrgasbank. This is a strong signal to all investors that the country is fulfilling its commitment to reforming the banking sector and building a sustainable banking model based on best global practices.

Denys Shmyhal and Makhtar Diop also discussed the financing of municipal projects. The Head of Government thanked IFC for supporting the development of municipal infrastructure.

"We look forward to further extending IFC's direct funding to local governments, in particular, to attract investment in the sorting and recycling of solid waste in Ukrainian cities," the PM emphasized.

Denys Shmyhal also noted that the Government together with the National Bank are taking successful steps to develop the capital market in Ukraine. The Government is also working out a mechanism for introducing the second (funded) level of the pension system.