Ukraine Needs $524B for Post-War Reconstruction Over Next 10 Decade

The total cost of reconstruction and recovery after Russia’s full-scale invasion of Ukraine, over the next decade will cost the Ukrainian economy $524 billion – approximately 2.8 times Ukraine’s estimated nominal GDP for 2024.

The United Nations, in collaboration with the Ukrainian government, the World Bank Group, and the European Commission released new estimates in an updated joint Rapid Damage and Needs Assessment (RDNA4) for Ukraine. The report presented on Monday in Kyiv reads:

“As documented in previous Rapid Damage and Needs Assessments (RDNAs), the impacts of the invasion are uneven, and the greatest effects are felt by those citizens mobilized to fight, women, persons with disabilities, children and youth, IDPs, and older persons,”

The timeframe of damages estimated in the report captures Feb. 24, 2022 to Dec. 31, 2025. 

Compared to the last figure of $486 billion, in 2025 the figure represents an 8% increase (about $37 billion) on the previous assessment. But the damage is evolving and the figure is not final, the press release says. 

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The direct damage in Ukraine has now reached $176 billion (up from $152 billion in the RDNA3 of February 2024). Key sectors impacted include housing (affecting more than 2.5 million households), transport, energy, commerce and industry, and education.

The worst change in damages is represented in the energy sector where there has been a 93% increase in damaged or destroyed assets, including power generation, transmission, and distribution infrastructure, and district heating.

A total 13% of Ukraine’s total housing stock has been damaged or destroyed, according to the estimates. Across all sectors, Donetsk, Kharkiv, Luhansk, Zaporizhzhia, Kherson, and Kyiv regions have sustained about 72% of the damage, the press release says. 

According to RDNA4, top priority sectors for long-term reconstruction and recovery needs are: 

• Housing – almost $84 billion
• Transportation – almost $78 billion
• Energy and Extractives – almost $68 billion
• Commerce and Industry – over $64 billion
• Agriculture – over $55 billion

Across all sectors, the cost of debris clearance and management alone reaches almost $13 billion, the report says.

RDNA4 authors also point out that $13 billion of needs are already met by Ukraine’s government. According to the press release:

“The assessment also identifies and excludes over $13 billion in needs across eight sectors that have already been met by Ukraine with the support of its partners and the private sector. For example, according to government data, in 2024, at least $1.2 billion was disbursed from the state budget and donor funds for housing sector recovery. Over 2,000 kilometers of emergency repairs were carried out on motorways, highways, and other national roads.”

The RDNA4 report also estimated civilian casualties caused by Russia’s war in Ukraine. As of December 2024, over 12,456 people have been killed, more than 28,000 have been injured, and millions have lost their homes. 

The report authors also give positive feedback to Ukraine’s reconstruction planning efforts over the last year:

“Since RDNA3, Ukraine has taken major steps to improve the process of planning and prioritization, while also pursuing an ambitious agenda for reform, modernization, and accession to the EU.”