The World Bank, within the framework of the Housing Repair for People's Empowerment Project (HOPE), will send Ukraine $232 million to compensate for minor repairs to private houses and apartments affected by the Russian invasion.

"The HOPE Project will help thousands of Ukrainian families receive funds to begin repairing their homes before winter sets in. The project will also support the Government of Ukraine to build the foundation for resilient, inclusive and green reconstruction, a colossal task that will take time and require significant international support. The World Bank stands with Ukraine as it starts repairing housing and other urban infrastructure," Antonella Bassani, World Bank Regional Vice President for Europe and Central Asia, said.

The initial financing of the project is $232 million, of which $70 million is a $70 million IBRD loan, backed by a guarantee from the Government of Japan, and a $162.5 million grant from the Ukraine Relief, Recovery, Reconstruction and Reform Multi-Donor Trust Fund.

The initial financing will compensate people whose homes have suffered partial damage, including some 98,000 single homes and 8,000 households in 160 residential buildings across five municipalities. Beneficiaries will be retroactively compensated for repairs once their expenditures are verified.

Over time, additional funding of up to $800 million is anticipated from the World Bank partners through guaranteed loans, grants, and other contributions, according to the press release.

"The total damage cost to Ukraine's housing sector was estimated to be more than $50 billion as of February 2023. This project is designed to help fix the approximately two-thirds of the country's damaged residential buildings that are considered repairable," the World Bank said in the press release.

The HOPE Project, which will be implemented by the Ministry for Communities, Territories, and Infrastructure Development of Ukraine, is the fourth World Bank framework project approved for Ukraine this year that mobilizes partner resources through a flexible design to disburse fund quickly and can be scaled as necessary when additional financing becomes available.

The invasion is estimated to have impacted about 1.4 million residential units (7% of total residential unit's stock), affecting 3.5 million people. Nearly 87% of housing units damaged were in multi-family buildings; four out of five damaged units were in urban areas.