The role of project financing in the reconstruction of Ukraine

In the current context, as Ukraine remains in a state of full-scale war and is simultaneously compelled to restore critical infrastructure, the attraction of funds based on project financing is of particular importance. The purpose of the paper is to summarize the accumulated experience of attracting capital on the terms of project financing and to suggest ways to activate it for the purpose of rebuilding Ukraine. The paper substantiates the importance of project financing for the reconstruction of Ukraine. It examines the support mechanism for Ukraine, which includes three main directions: financial support for Ukraine through the provision of grants and loans conditional on public administration reform, good governance, the rule of law, anti-corruption measures, and effective financial management; special investment frameworks for Ukraine; and technical assistance along with other types of bilateral aid. The paper explores the priorities and advantages of project financing. It outlines the specifics of various types of project financing, including public-private partnerships, venture financing, and project financing involving international financial institutions. Ukraine’s reconstruction must combine the stability and determination of the state, support from domestic businesses, and international partners. It is important to attract international investors and companies by providing guarantees, safety standards, reliable insurance, the rule of law, and transparent selection procedures. Еxchanging experiences and adopting best practices from EU countries can help improve project financing models, particularly public-private partnerships, for Ukraine’s reconstruction.