Additional EUR 200 million to support critical projects – Ukraine and France announce creation of new Recovery Support Fund
Ukraine and France will establish a new Fund to support critical infrastructure and priority economic sectors in Ukraine, with a target funding volume of EUR 200 million. By the end of 2025, a new intergovernmental agreement will be signed to deepen economic cooperation and create better conditions for attracting investments. The respective Declarations of Intent were signed on 21 July 2025 in the presence of Prime Minister of Ukraine Yuliia Svyrydenko by Ukraine’s Minister of Economy, Environment and Agriculture Oleksii Sobolev and France’s Minister for Europe and Foreign Affairs Jean-Noël Barrot.
“We are grateful to France for its consistent support of critical infrastructure and priority economic sectors. Thanks to last year’s intergovernmental grant agreement, French companies, together with Ukrainian businesses and communities, are already implementing 19 projects worth EUR 200 million in strategic economic sectors. France’s new initiative will enable the realisation of even more critical projects and expand our partnership. We are preparing to sign a new agreement that will provide opportunities for broader economic cooperation, attracting French investments, and integrating Ukrainian companies into European production chains,” said Oleksii Sobolev.
The Declaration outlines that the Fund for Critical Infrastructure and Priority Economic Sectors of Ukraine will be established next year. Starting in 2027, the Fund’s resources will finance projects aimed at enhancing resilience.
To finance the Fund, the parties will seek the maximum possible co-financing from:
- Participating companies;
- Ukrainian partners (public or private);
- Ukraine’s state budget;
- French and Ukrainian local authorities;
- International donors.
In a separate signed document, the parties declared their intent to conclude a new intergovernmental agreement, which will include:
- Deepening economic cooperation in defence, energy (including renewables), nuclear energy, transport, digital technologies, aerospace, agriculture, water supply, critical minerals, and metals;
- Creating conditions for attracting French investments and integrating Ukrainian companies into European production chains;
- Joint implementation of large-scale projects and identifying financial and administrative mechanisms to support them;
- Supporting reforms related to Ukraine’s integration into the European market and energy system.
Background
The first Grant Agreement between France and Ukraine to support critical infrastructure and priority economic sectors was signed in Paris on 7 June 2024. The agreement provided EUR 200 million in grants. As a result, French companies and Ukrainian public beneficiaries submitted over 70 projects for funding, totalling EUR 750 million.