Denmark allocates €420 million to rebuild Ukraine's infrastructure
Ukraine and Denmark have signed a Memorandum of Understanding on long-term cooperation and reconstruction of Ukraine.
This is stated in a statement by the Ministry of Economy of Ukraine.
This document provides for the Danish government to allocate about EUR 40 million to support the private sector involved in the reconstruction of Ukraine, as well as EUR 380 million to support critical infrastructure using renewable energy.
The Memorandum was signed by First Vice Prime Minister and Minister of Economy of Ukraine Yulia Svyrydenko on behalf of Ukraine and by Danish Minister of Enterprise Morten Bedskou on behalf of Denmark.
"The Memorandum we have signed envisages cooperation with the private sector through the Ukraine Facility mechanism with a system of loans and guarantees under the Danish Export Investment Fund (EIFO), which is part of the Danish-Ukrainian Fund aimed at reducing financial risks faced by companies involved in the reconstruction of Ukraine," explained Yulia Svyrydenko.
According to the agreements reached, the Danish government will channel new funding to the EIFO, facilitating new investment opportunities of at least DKK 300 million (approximately EUR 40 million), bringing the total package of the fund to DKK 1.3 billion, or EUR 170 million.
In addition, the parties will facilitate a dialogue between the Danish funds and relevant Ukrainian partners to support further cooperation on the reconstruction of Ukraine.
The two governments also agreed to facilitate meetings between Danish and Ukrainian businesses, in particular through the Ukrainian Investment Forum, as well as to promote the creation and implementation of loan and guarantee mechanisms aimed at supporting Ukraine.
Special attention will be paid to the green transformation of the economy and the implementation of innovative solutions in the field of critical infrastructure, where Denmark has a leading position in the global market.
In particular, to support critical infrastructure that uses renewable energy, the Danish government will allocate additional funding to the Ukrainian EIFO Mechanism for DKK 2.85 billion (approximately EUR 380 million).
Ukraine and Denmark will also strengthen cooperation in shipbuilding, development, and the reconstruction of seaport infrastructure.
Author - Serhii Kolomiets, 24/04/2024
