World Bank to establish crisis facility for Ukraine and other countries affected by the war
The World Bank Board of Executive Directors approved the recommendation to establish a Crisis Facility for the International Development Association. This Facility is a funding programme for Ukraine, Moldova and the poorest countries affected by the war in Ukraine. Sweden has been a driving force in this work. The Swedish Government assumed a leading role at an early stage with Minister for International Development Cooperation and Foreign Trade Johan Forssell’s announcement of SEK 600 million in assistance to Ukraine and Moldova in December 2022.
“At national level and as holder of the Presidency of the Council of the European Union, Sweden has been instrumental in mobilising support to those affected by the war in Ukraine. The Government welcomes the Crisis Facility as an example of effective assistance. Negotiations have been drawn out and at times difficult, but it is gratifying that donor governments have now reached an agreement,” says Mr Forssell.
The Crisis Facility focuses on two areas. The first concerns funding for early recovery and reconstruction in Ukraine through investments in health, energy, transport, agriculture and a social protection network, and funding to Moldova, whose economy is under pressure due to the energy crisis and large numbers of Ukrainian refugees. The second will fund crisis response in low-income countries that have been hard hit by the effects of Russia’s war in Ukraine, not least through support for increased food security.