PROBLEMS OF INVESTMENT ACTIVITY OF IBRD AND EBRD IN UKRAINE

Abstract

The article highlights the issues related to the investment activities of the International Bank for Reconstruction and Development (IBRD) and the European Bank for Reconstruction and Development (EBRD) in Ukraine. The authors analyse the key challenges that arise in the context of cooperation between these international institutions and the Ukrainian economy, taking into account various aspects, such as the unstable financial climate, insufficient coordination with government agencies, inefficient use of investment resources and the outbreak of a full-scale war with Russia. The article provides an analysis of the factors that influence the success of IBRD and EBRD investments in Ukraine and identifies possible ways to solve the identified problems. In particular, the article discusses the prospects for optimising interaction with government agencies and local structures, as well as improving investment strategies to achieve a more significant positive impact on Ukraine's economic development. Despite the existing problems, Ukraine will continue to interact with these organisations, as the country needs to attract financial resources, which are insufficient. The investment activities of the International Bank for Reconstruction and Development (IBRD) and the European Bank for Reconstruction and Development (EBRD) in Ukraine are a relevant aspect of the country's economic policy, but their effectiveness and impact on the sustainability of economic development remain the subject of serious scientific and practical consideration. Today, there are a number of systemic problems affecting the investment activities of these international organisations in Ukraine that require careful analysis and consideration. The study of these problems will allow to develop recommendations for optimising the investment activities of the IBRD and the EBRD in Ukraine and will help to improve the effectiveness of their impact on the country's economic development. After the war, cooperation with international monetary and financial organisations and their involvement in investment activities will be a prerequisite for the reconstruction and further development of our country. Ukraine faces significant difficulties in using financial resources from the IBRD and EBRD. Problems include low loan selection, inefficient use of budget funds, bureaucracy, and slow project implementation. Insufficient qualifications of executors are a key factor. It is important to note that improved governance, effective project implementation, and the fight against corruption are critical aspects for successful cooperation. Amidst difficult internal and external challenges, such as the war and the economic crisis, Ukraine needs to focus on reforms and creating a favourable investment environment to maximise the potential of financial support from IFIs.