The World Bank has approved the First Ukraine Jobs and Private Sector Growth Development Policy Operation (DPO), providing $3.39 billion in financing to support Ukraine’s economic recovery, private sector development, and long-term growth. The funding package includes a $1.04 billion World Bank loan, backed by support from the Governments of Japan and the United Kingdom, along with a $2.35 billion grant from the F.O.R.T.I.S. Financial Intermediary Fund. The initiative aims to strengthen Ukraine’s economy amid ongoing challenges while supporting the country’s goal of closer integration with the European Union (EU).
The program focuses on creating a more attractive environment for private investment and business growth. Key reforms include improving regulations for public-private partnerships, expanding access to finance for small and medium-sized enterprises (SMEs), and accelerating the privatization of state-owned assets. These measures are expected to encourage domestic and international investment, stimulate entrepreneurship, and create new economic opportunities across the country.
Another major objective of the operation is addressing labor shortages and improving workforce participation. The reforms will modernize housing policies, support veteran-owned businesses, promote greater participation of women in the labor market, and reduce skills mismatches between workers and employers. These efforts are designed to help businesses access qualified talent while improving employment opportunities for Ukrainians.
The program also supports deeper integration with European markets by enhancing transparency in agricultural subsidy systems, aligning environmental monitoring standards with EU requirements, and advancing the integration of Ukraine’s electricity market institutions with those of the European Union. These reforms will strengthen trade, improve competitiveness, and support Ukraine’s EU accession ambitions.
Since the start of the conflict, World Bank-supported programs have helped Ukraine maintain critical public services for more than 20 million people, including support for healthcare, education, housing, energy, agriculture, and small businesses. This new financing package represents another important step in Ukraine’s recovery strategy, helping to build a stronger private sector, create jobs, attract investment, and lay the foundation for sustainable economic growth and long-term prosperity.
