British Prime Minister Rishi Sunak recently announced a new war risk insurance framework to make investments into Ukraine safer and more attractive. Delegates from more than 60 countries joined the Ukraine Recovery Conference in London, pledging billions of dollars in non-military aid to rebuild the war-torn nation's infrastructure, fight corruption and help pave the way for Ukrainian membership in the European Union. The new risk insurance framework, announced by Prime Minister Sunak, will provide a range of risk mitigation tools to insurers and investors, with the aim of making investments into Ukraine more attractive. The framework is part of a wider package of measures announced by the UK government to support Ukraine’s recovery, and is designed to provide greater protection for investments in the country.

It is hoped that the new framework will help provide the confidence and security investment that Ukraine desperately needs, and will ultimately help the country rebuild from the devastation of war. The World Bank has estimated the cost of reconstruction at more than $400 billion. Ukraine President Volodymyr Zelensky urged private sector companies to invest, saying that “We must move from vision to agreements and from agreements to real projects.” The new framework, part of a larger package of support for Ukraine, will provide a range of risk mitigation tools to insurers and investors.

These tools aim to provide greater protection for investments, giving investors the confidence needed to act. On June 20, Ukrainian air defenses shot down around two dozen of 35 Shahed exploding drones launched by Russia. The attack was part of a wider bombardment of Ukrainian regions that extended as far as the Lviv region in the west, near Poland. Ukraine’s allies have now pledged several billion dollars to help rebuild the war-ravaged infrastructure and pave the country’s way towards EU membership. The hope is that with the help of these measures, the country can rebuild and recover from the devastation of war.