The World Bank has transferred an additional $500 million to Ukraine to support basic government and address immediate needs arising from Russia’s invasion of Ukraine, the new tranche increased the amount of funds already provided to Ukraine through the World Bank to $11.4 billion.

"The IBRD financing is supported by $500 million in loan guarantees from the United Kingdom, announced September 30, 2022, and was mobilized under the Public Expenditures for Administrative Capacity Endurance in Ukraine (PEACE) Project, which supports continued government capacity, including the provision of core public services such as health, education, pensions and social protection," the bank said.

"The Russian invasion continues to cause massive destruction of Ukraine’s infrastructure – including water, sanitation, and electricity networks – just as winter is approaching, further endangering Ukrainian people," said World Bank Group President David Malpass.

"In September, the World Bank, the government of Ukraine, and the European Commission released an analysis of Ukraine’s reconstruction and recovery needs, the Rapid Damage and Needs Assessment (RDNA), which estimates the total cost to be $349 billion as of June 1, 2022. This figure is growing as the war continues," the report says.

"According to the World Bank’s recent economic update, Ukraine’s economy is projected to contract by 35% this year. We also expect the number of people living in poverty in Ukraine to rise to around 25% by the end of this year – compared to just 2% prior to the invasion," the bank said.