12:30 05.12.2023

UK to contribute GBP 20 mln to SURE fund launched by MIGA to insure investments in Ukraine

2 min read

The UK will provide GBP 20 million ($25.3 million at current rates) to the Ukraine Support Reconstruction and Economic (SURE) Trust Fund, launched by the World Bank's Multilateral Investment Guarantee Agency (MIGA), to reduce the risks of foreign investors in Ukraine.

"Today’s [Monday] signing gives businesses and investors the fundamental tools they need to get directly involved in Ukraine’s recovery from this horrific war," UK's Minister for Industry and Economic Security Nusrat Ghani said in the agency's release.

"...Our GBP 20 million contribution into the MIGA insurance trust fund will de-risk projects and attract much-needed private investment into Ukraine to support economic recovery now and into the future," he said.

The MIGA press service recalled the World Bank estimates the damage from Russia's invasion of Ukraine at $411 billion.

As reported, Norway also provided $22 million in SURE to reduce risks for foreign investors and meet demand for military insurance.

Ukraine Support for Reconstruction and Economy (SURE) Trust Fund was established by MIGA in February 2023 to create a two-pronged strategy to help Ukraine cope with the consequences of a full-scale Russian invasion.

MIGA was established in 1988 as a member of the World Bank to promote foreign direct investment in developing economies, helping to mitigate the risks of currency conversion and transfer restrictions, government breaches of contracts, expropriation, and war and civil unrest. The agency is also involved in improving lending for private investors and the lenders themselves.

The press service said since the start of its work, MIGA has issued guarantees worth over $76 billion in 123 developing countries, supporting more than 1,000 projects, and over the past decade has provided 156,000 new jobs in developing countries.