The governors of the European Bank for Reconstruction and Development (EBRD) approved a €4 billion increase to the bank's paid-in capital so it can invest more in Ukraine's reconstruction and war-time needs.
The added shareholder capital, which brings the bank's paid-in capital to €34 billion, "will be used to provide significant and sustained investment for Ukraine’s real economy, both in wartime and in reconstruction," the bank said in a press release.
The lender, which has invested €1.5 billion in Ukraine per year over the last two years, said the capital increase will also allow it to double that investment, to €3 billion per year, once the reconstruction of Ukraine starts in earnest.
“The increase in the Bank’s capital will enable us to deliver more and become an even stronger Bank – a stronger Bank for Ukraine, a stronger Bank for all our economies and clients, and a stronger Bank for our shareholders,” said EBRD President Odile Renaud-Basso.
The increase, which takes effect on Dec 31, 2024, follows a recommendation submitted in November by the lender's board of directors. The capital increase is the bank's third, after similar moves in 2010 and 1996.
