Swedish Government adopts new development assistance strategy for Ukraine
The Government has adopted a new strategy for Sweden’s recovery and reform cooperation with Ukraine for 2023–2027. The strategy will provide a total of approximately EUR 522 million (SEK 6 billion) and is Sweden’s largest-ever bilateral development assistance strategy.
“I’m proud that the Government today is able to present a brand new strategy for Ukraine’s recovery, Sweden’s largest-ever bilateral strategy. Support to Ukraine is among our top priorities and this strategy is at the core of it. We’re taking a major step to provide robust and long-term support for Ukraine’s recovery. It will strengthen Ukraine’s resilience and democratic development, which will bolster the country’s capacity to resist Russia’s full-scale invasion,” says Minister for International Development Cooperation and Foreign Trade Johan Forssell.
Focusing on both recovery and reform, the strategy will contribute to Ukraine’s EU integration and strengthen its freedom, resilience and economic prosperity. The strategy is based on Ukraine’s needs, priorities and clear ambition not to be restored to what it was before Russia’s aggression, but to develop and modernise the country.
To harness Sweden’s added value as a donor, the strategy includes areas where Sweden is at the forefront, such as the green transition, social issues and digital transformation. In addition to development assistance, business sector engagement will be important to mobilise the necessary resources. One year after Russia launched its full-scale invasion, the cost of reconstruction and recovery in Ukraine was estimated at USD 411 billion for 2023–2033.
“Conditions for business are crucial for Ukraine’s reconstruction and economic recovery. By strengthening Ukraine’s investment climate and the country’s role as a trading partner, the strategy can facilitate trade and entrepreneurship,” says Mr Forssell.
About the Strategy for Sweden’s recovery and reform cooperation with Ukraine
The Strategy for Sweden’s recovery and reform cooperation with Ukraine 2023–2027 is an important part of Sweden’s total development assistance to the country. Since Russia launched its full-scale invasion in February 2022, Sweden has provided support to Ukraine totalling around SEK 22 billion, including SEK 4 billion in aid funds. Bilateral aid to Ukraine under the current Strategy for Sweden’s reform cooperation with Eastern Europe for 2021–2027 will be transferred to the new Strategy for Sweden’s recovery and reform cooperation with Ukraine. The total amount provided by the Strategy for Sweden’s reform cooperation with Eastern Europe remains unchanged at SEK 6.6 billion for 2021–2027.
The implementing agencies are the Swedish International Development Cooperation Agency (Sida), the Swedish Institute (SI) and the Folke Bernadotte Academy (FBA).
The Strategy for Sweden’s recovery and reform cooperation with Ukraine encompasses five support areas:
- recovery, focusing on critical infrastructure, essential social services and rehabilitation
- the green transition and sustainable development
- inclusive economic development, entrepreneurship and trade
- security and stabilisation
- human rights, democracy, the rule of law and gender equality.