Czechia to receive CZK 4.7 billion in EU funds to help rebuild Ukraine

The Czech government has secured significant funding from the European Union to support Czech businesses in contributing to Ukraine's reconstruction. The EU has approved an application that will provide EUR 188 million (around CZK 4.7 billion) to facilitate loans and guarantees aimed at reviving Ukraine's critical infrastructure and healthcare systems.

The funding, part of the EU's Ukraine Facility, is designed to strengthen Czech companies' involvement in the rebuilding effort, especially in energy and hospital modernization.

Tomáš Kopečný, the Czech government’s commissioner for Ukraine's reconstruction, emphasized the competitiveness of the application process, which included major European banks, stating that well-prepared projects were key to the Czech Republic's success.

"We worked on it for a year and a half," he explained. "The competition was huge, but we succeeded due to our strong project proposals."

The majority of the funds will be allocated to support Ukraine's energy sector, with EUR 100 million (approximately CZK 2.5 billion) provided in bank loan guarantees. These funds will be used to rebuild the energy infrastructure, a vital component of the country's recovery.

In addition to the EU funding, the Czech government will contribute an additional CZK 850 million in loan financing to further encourage Czech companies to participate in this effort.

Foreign Minister Jan Lipavský noted the importance of collaboration between the Ministry of Foreign Affairs and the National Development Bank (NRB) to ensure the success of this initiative.

The program will enable Czech companies to secure lower interest rates through guarantees provided by the European Commission, making it easier for them to offer their products and services to Ukraine.

In addition to infrastructure support, another EUR 88 million (about CZK 2.2 billion) will be directed towards modernizing six Ukrainian hospitals. This funding will be provided through a combination of loan guarantees, grants, and technical assistance.

The goal is to equip hospitals with modern medical equipment, sourced from Czech manufacturers, and to provide specialized training for Ukrainian healthcare workers.

The Czech Development Agency will oversee the launch of this program in cooperation with the NRB. Czechia plans to contribute around CZK 200 million to support the healthcare sector's reconstruction, ensuring that Ukraine’s hospitals can access state-of-the-art medical equipment and expertise from Czech professionals.

These initiatives are part of the EU's broader efforts to provide EUR 50 billion in support for Ukraine’s recovery. The funds are designed to stimulate investment and return value to the European economy by supporting EU-based companies engaged in reconstruction projects in Ukraine.