The European Investment Bank, the lending arm of the European Union, is proposing a funding structure previously used during the COVID-19 pandemic to help rebuild Ukraine with up to 100 billion euros ($104.3 billion) of investment, according to a document seen by Reuters.
The EU-Ukraine Gateway Trust Fund would seek to have an initial 20 billion euros in contributions from EU countries and the EU budget in the form of grants, loans and guarantees.
The EIB is proposing a fund that would work like that used in the COVID-19 pandemic to guarantee financing for small and medium sized companies. It envisaged 25 billion euros leading to as much as 200 billion euros being mobilised. Projects could also focus on facilitating Ukraine's exports or on its energy and digital infrastructures. The EIB or development banks such as KfW or DFC would be able to draw on the fund or its guarantees for investments they oversee.
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