Although all eyes are on Russia for the reconstruction effort, the answer to this question is very soon. The war is in full swing and, as most experts and politicians have interviewed, it is not over. Recall that Russia is one of the five nuclear powers and a permanent member of the UN Security Council.
On April 18, Ukrainian Minister of Infrastructure Oleksandr Kubrakov said that the Russian invasion had caused damage. Estimated at $ 100 billion, Or 20 to 30% of the country’s infrastructure has been destroyed or damaged. This amount will continue to increase until the war continues. Center for Political Economic Research (CEPR) in London, Presented to him in a note entitled A map of the reconstruction of Ukraine Published in early April, a rating Between 200 200 and 500 500 billion, it describes how this reconstruction could be streamlined. By comparison, German reunification would cost about 2,000 billion euros.
All this without taking into account the consequences of the war on the Ukrainian economy: The International Monetary Fund (IMF) expects a 35% recession in 2022, and the World Bank -45%. Not to mention the impact on the world economy.
One way considered to pay for a portion of this giant bill is to use its frozen Russian assets. For example, on March 14, Prime Minister Mateusz Morawiecki suggested: “Completely freeze and seize Russian state property. Freeze the assets of Russian oligarchs, big and small, businessmen and politicians. Let them serve the people who were unarmed under Putin’s regime. Let them work valiantly for the restructuring of a state that defends its independence and sovereignty. ” Volodymyr Zhelensky also supported this idea from the beginning of the war.
Nearly $ 300 billion in Russian assets are already frozen by various sanctions around the world. But being disabled does not mean that it has been captured, and that the allocation of these funds for the reconstruction of Ukraine will require the agreement of several protagonists. This is the first time such an embargo-compensation mechanism has been implemented.
In addition to this fictitious manna, reconstruction efforts fall on the regular cast of the international community: the World Bank, the IMF, the United Nations Development Program (UNDP), the European Bank for Reconstruction and Development (EBRD), the European Investment Bank (EIB))., Maybe America.