At least $750 billion is needed to rebuild the country, according to estimates by the Ukrainian government.
President Volodymyr Zelensky called for reconstruction to start before the end of the war.
This opinion is shared by Minister for Development Cooperation Franz Fayot, who represents Luxembourg at the Lugano Conference. “We must give hope to the Ukrainian population” and “it would be a very strong sign if a plan was already in place”, particularly with regard to very acute needs, the Minister explained. This could include, for example, the reconstruction of bridges to allow the transport of foodstuffs.
The plan is expected to be funded through a mix of grants and international financial instruments. However, Fayot admitted that it will be “difficult” to use frozen Russian assets for the reconstruction of Ukraine. In fact, there is no legal framework for doing so, according to the Minister.
However, this idea could be considered in future sanctions. Luxembourg has reportedly already provided a great deal of assistance to Ukraine. The Grand Duchy will also participate in the reconstruction, via a European platform that will be created for this purpose.
It will be decided at that time how much aid each country will provide, Fayot added.
