IFC estimates Ukraine's potential to attract private investment through innovative construction at EUR 4 bln
Ukraine can attract up to EUR 4 billion in private investment and create over 17,000 jobs through innovative construction, which includes the use of geopolymers, hemp concrete, and 3D printing, according to a report by the International Finance Corporation (IFC) of the World Bank Group, "Rebuilding Ukraine: Investment Opportunities in Innovative and Sustainable Construction."
"As of end 2024, 13 percent of the total housing stock had already been damaged or destroyed, and a large share of the country’s infrastructure has been affected in all major sectors (e.g., energy, transport, telecommunication, industrial, social). Total investment needs for recovery and reconstruction were estimated at over half a trillion dollars over a decade, with housing accounting for the largest share," the report notes.
The IFC emphasizes that reconstruction provides an opportunity to build housing in a better, more efficient way. The study identifies promising construction materials and technologies that can help achieve this goal and facilitate the construction of hundreds of millions of square meters of new, energy-efficient buildings.
However, the authors of the document also note that several obstacles hinder private investment in innovative construction. These obstacles include regulatory barriers, limited access to financing, low levels of industry education, and a shortage of qualified personnel.
According to the study, Ukraine requires increased production capacity: the study estimates that 8 million tonnes of geopolymers require $1.36 billion in investments, 6 million square meters of precast concrete require $1.5 billion, 0.7 million tonnes of basalt wool require $420 million, and 0.1 million tonnes of basalt reinforcement require $420 million.
The list also includes creating capacities for producing 0.5 million tonnes of hemp concrete ($20 million), 1 million cubic meters of AAC ($100 million), 3D printing for construction ($50 million), and special glazing for 8 million square meters ($72 million).
