The Role of Investment in Economic Recovery

The Fifth Ukraine Rapid Damage and Needs Assessment (#RDNA5) was launched this week in Kyiv. Even after years of analyzing these figures, the sheer scale is undeniably staggering. As of 31 December 2025, direct damage across Ukraine has reached $195 billion — an 11% increase over the past year. Looking ahead, recovery and reconstruction needs are estimated at $588 billion over the next decade. These figures are not abstract. They represent homes, transportation links, energy systems, and livelihoods that millions of Ukrainians depend on every day. The largest impacts are clear: ·      Housing: $61.1B in damage and $89.8B in recovery needs ·      Transport: $40.3B in damage and $96.3B in needs — now the single largest sector ·      Energy: $24.8B in damage and $90.6B in recovery needs ·      Commerce & industry: $19.2B in damage and $63.3B in needs In our #RDNA5, I see recovery evolving beyond simply replacing what was destroyed. For me, it’s about rebuilding systems that can generate growth, create jobs, and sustain long-term transformation. It can be structured around three key rebuilding pillars. The first pillar is private-sector-led recovery. Investment doesn’t happen by accident — it requires preparation, risk mitigation, and credible rules. These are not technical footnotes; they are the foundations of job creation. The second pillar is social sustainability in jobs. Recovery must translate into real opportunities for IDPs, returnees, veterans, women, and young people. Jobs don’t automatically follow reconstruction, which is why RDNA5 links housing and industrial investments directly to skills, labor demand, and workforce development. The third pillar is an area-based approach. By responding to local realities and labor markets, recovery can rebuild communities, support local firms, and restore economic life where it matters most. RDNA5 is also a reminder of what a strong partnership can achieve. This assessment reflects the leadership and ownership of the Government of Ukraine and sustained collaboration with the United Nations, the European Commission, and us, the The World Bank Bank Group. Delivering analysis of this depth during Russia’s ongoing invasion is an extraordinary achievement. Learn more: https://lnkd.in/ezQBtBug Photos: World Bank; Ukraine Ministry for Development of Communities and Territories of Ukraine; Sergii Drobysh Yulia Svyrydenko Anna Bjerde Alfonso García Mora Sergii Marchenko Oleksii Sobolev, CFA Alona Shkrum

Africa’s economic output tells two stories: 🌍 A labor productivity average of $8,000 per worker, compared to $140,000+ in developed economies. But here’s the untold story: Impact investments hold the key to transforming Africa’s untapped potential into global opportunity. Without targeted investments, the productivity gap grows wider: ↳ Millions of young people remain unskilled. ↳ Rural areas lack critical infrastructure. ↳ Entire industries operate below their potential. But the solution is clear—when impact investment drives education, technology, and infrastructure, it unlocks a continent’s capacity to thrive. Here’s where impact investment creates the most measurable difference: 1️⃣ Education: Skilling Africa’s Workforce ↳ Invest in EdTech platforms that improve literacy and employability. ↳ Every additional year of schooling raises productivity by 12-15%. 2️⃣ Technology: Digital Connectivity for Growth ↳ Expand internet access in rural areas to bridge the digital divide. ↳ Increased digital literacy could contribute billions annually to GDP. 3️⃣ Healthcare: Building Healthy, Productive Communities ↳ Fund health initiatives that reduce disease and absenteeism. ↳ Healthy workers are 20-30% more productive over their lifetime. 4️⃣ Infrastructure: Powering Progress ↳ Scale renewable energy projects to provide reliable electricity. ↳ Affordable power increases industrial output and supports small businesses. 5️⃣ Agriculture: Feeding Economies and Families ↳ Support sustainable farming to boost yields and food security. ↳ Improved agricultural practices enhance productivity for millions of workers. Africa is home to the world’s youngest workforce and limitless potential. 🌱 Strategic investments in education, technology, and infrastructure can bridge the productivity gap and unlock global economic growth. What role will you play in driving this transformation? Let’s explore opportunities to invest in impact—drop your thoughts below or message me directly. 👉 Follow Ben Botes for more insights on Leadership, Entrepreneurship and Impact Investment.

[RECOMMENDED READ] Investment drives growth, jobs, and poverty reduction—but it’s slowing across emerging and developing economies. A World Bank study finds investment growth has halved since the global financial crisis, with private investment and FDI weakening. But there’s a path forward. When governments take a practical, coordinated approach—steady macro policies, simpler rules for doing business, easier cross-border trade, stronger local finance, and reliable institutions—investment accelerates and living standards rise. This is why cooperation matters. No country can do it alone. A predictable global system for investment, scaled-up international finance, and targeted policy and technical support can unlock an investment revival. Read the study> https://lnkd.in/e58q_scn

𝐀𝐬 𝐰𝐞 𝐰𝐫𝐚𝐩 𝐮𝐩 𝐭𝐡𝐞 #𝐖𝐁𝐆𝐌𝐞𝐞𝐭𝐢𝐧𝐠𝐬, 𝐨𝐧𝐞 𝐦𝐞𝐬𝐬𝐚𝐠𝐞 𝐞𝐜𝐡𝐨𝐞𝐝 𝐚𝐜𝐫𝐨𝐬𝐬 𝐞𝐯𝐞𝐫𝐲 𝐜𝐨𝐧𝐯𝐞𝐫𝐬𝐚𝐭𝐢𝐨𝐧: 𝐏𝐫𝐢𝐯𝐚𝐭𝐞 𝐢𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭 𝐢𝐬 𝐭𝐡𝐞 𝐞𝐧𝐠𝐢𝐧𝐞 𝐨𝐟 𝐣𝐨𝐛𝐬, 𝐫𝐞𝐬𝐢𝐥𝐢𝐞𝐧𝐜𝐞, 𝐚𝐧𝐝 𝐫𝐞𝐜𝐨𝐯𝐞𝐫𝐲. In both #Europe and #LatinAmerica and the #Caribbean, the need for job creation has never been more pressing. Over the last 15 years, job growth in Europe and Central Asia has been modest, and concentrated in lower-paying, low-skilled work. In LAC, more than 9 million youth will enter the labor force each year over the next decade, yet only one in five will find a wage job. 𝐖𝐡𝐚𝐭 𝐭𝐡𝐢𝐬 𝐦𝐞𝐚𝐧𝐬 𝐢𝐬 𝐜𝐥𝐞𝐚𝐫: creating jobs will depend on how effectively countries implement smart policy reforms, and harness private capital and innovation, especially in sectors such as infrastructure, energy, agriculture, tourism, healthcare and manufacturing, that combine growth with inclusion and resilience. The President of the The World Bank Ajay Banga, articulated very clearly why #jobs is and must be at the core of our development agenda: https://lnkd.in/dxEcxxn5 Which is also reflected in the Develpment Committee paper: https://lnkd.in/d2A4Zimk During this week, I met more than 50 different countries and private sector clients in bilaterals where both public and private partners reinforced the same message: when private capital is mobilized strategically, it drives resilience and job creation. In #Ukraine, this challenge is especially urgent. Sustaining recovery requires bold reforms, continued access to finance, and a strong pipeline of investable projects. We’re helping Ukrainian companies access liquidity now and invest for the medium term, supporting a private sector–led reconstruction that complements public recovery efforts. I was very happy to sign a new €100m contribution from #Italy, providing blended finance to support these efforts. I also signed an agreement with Lviv’s Major to structure a PPP for a new surgical hospital, reflecting a 60% increase in surgical demand since 2023. Not less complex is the situation of #Haiti. During this week, I signed an MOU with the Minister of Finance which aims to catalyze private investment and renewables to boost access to electricity — showing how innovation and partnership can unlock progress even in fragile contexts. Across all these efforts, the path forward is the same: turning opportunity into jobs, investment into resilience, and growth into shared prosperity. Thanks to all the Europe and LAC team for their work on another successful #WBGMeetings! Ines Rocha Elizabeth Martinez de Marcano Wiebke Schloemer Manuel Reyes-Retana Olaf Schmidt Cheryl Edleson Hanway Vittorio Di Bello IFC - International Finance Corporation IFC Europe IFC América Latina y el Caribe

Ukraine’s reconstruction needs now exceed $500 billion, and the private sector will be essential to driving the country’s long-term economic recovery. Attracting foreign investment is critical to rebuilding infrastructure and boosting growth in the energy and technology sectors.   As highlighted in our recent Citi workshop, the potential is significant, but so are the challenges. To attract large-scale private capital, Ukraine must address three key hurdles: Security, institutional reforms, and human capital shortages. Enhancing governance, creating a better business environment, and investing in workforce readiness are vital steps.   Sustainable recovery will require true partnership across government, business, and international allies - a collaborative effort that can build investor confidence and support Ukraine’s modernization and stability.   Read more in the full article by Amy Thompson and Alex Miller: https://lnkd.in/eJZxwkDw