Ukraine’s recovery has been a hot topic over the past six months, first during the Lugano conference and then during the follow-up conference in Berlin. However, the disbursement of promised financial assistance to Ukraine has been frequently delayed. For many observers, it has become clear that the most urgent need is to focus on immediate action to support Ukraine’s victory in its protracted war. Financial assistance is needed on a much more predictable basis, and additional urgent donor coordination is vital. A “Financial Rammstein” mechanism could be an answer to this problem.<\/p>\n\n\n\n
Several concepts for financing recovery and reconstruction, already presented by different groups of thinkers, could successfully implement the principle of immediate action. It is important that political leaders in the European Union (EU) and the G7, as well as international financial institutions, adopt a flexible approach, prioritizing timing over the careful design of recovery projects. A regular and reliable flow of $3-4 billion per month for budgetary needs seems critical to keep the Ukrainian state afloat, and likely an additional $1-2 billion per month to finance urgent capital expenditures through 2023.<\/p>\n\n\n\n