Ukraine

In February 2022, at the onset of the war in Ukraine, Luxembourg provided financial assistance to humanitarian organisations operating in the country. The following year, a bilateral agreement was signed between Luxembourg and Ukraine, expanding Luxembourg’s support to include technical and financial cooperation activities implemented by LuxDev in close collaboration with Ukrainian public institutions.

These interventions focus on key areas such as education, technical and vocational training, support for micro, small, and medium-sized enterprises, energy, and governance. They are designed in response to the priorities expressed by Ukrainian authorities and are overseen from LuxDev’s headquarters in Luxembourg.

The situation in Ukraine remains highly complex, with ongoing conflict and significant humanitarian challenges. Since 2022, heavy fighting and bombardments have caused devastating civilian casualties and widespread damage to the country’s infrastructure. Homes, schools, hospitals, and essential services – including water, gas, and electricity networks – are frequently targeted, with power cuts further hampering economic activity.

By the end of 2024, approximately four million people – ncluding nearly one million children – are internally displaced, while more than six million have sought refuge abroad. In addition to the dangers of war, the trauma of loss, and forced displacement, poverty has risen sharply since the conflict began.

Despite these challenges, Ukraine remains committed to economic and democratic reforms, strengthening its ties with Europe. At the same time, efforts are being made to diversify the economy and enhance energy independence.

LuxDev operates both nationally and locally, with a particular focus on the Kryvyi Rih district.

Our support for the energy sector, in collaboration with international partners, aims to mitigate the impact of the war on Ukraine’s critical energy infrastructure. This includes funding urgent needs for Ukrainian energy companies, such as acquiring essential equipment, securing fuel supplies, and maintaining vital services.

In Kryvyi Rih district – a key mining and metallurgical hub for Ukraine’s economy, now struggling with the influx of displaced people – we work closely with local institutions and organisations to address the most pressing needs of the population. This includes providing IT equipment for schoolchildren, repairing school shelters, carrying out demining operations, and installing autonomous energy units.

A special focus is placed on displaced individuals, veterans, and children with special educational needs, ensuring social inclusion and equal opportunities. 

Additionally, we support the local private sector by financing micro, small, and medium-sized enterprises to help boost resilience, create jobs, and foster innovation. 

Finally, we assist the district in designing and securing funding for projects in critical sectors such as energy, transport, and agriculture.