The challenge of rebuilding a nation after war

After Russia’s full-scale invasion of Ukraine in 2022, the world witnessed widespread destruction: cities bombed, millions displaced, and critical infrastructure destroyed. This war, Europe’s largest since World War II, didn’t just damage buildings—it disrupted lives, institutions, and economies. Within weeks of the invasion, scholars, governments, and aid groups began planning for how Ukraine could recover—not just to survive, but to thrive. With over 500 studies published since the war began, the authors of this paper set out to make sense of the flood of ideas.

Turning crisis into opportunity

This study combines insights from across economics, history, and politics to offer a roadmap for Ukraine’s reconstruction. But this isn’t just about pouring concrete. The goal is to help Ukraine become a modern, resilient democracy—ready to join the European Union and resist future threats.

Torbjörn Becker, Yuriy Gorodnichenko, and Beatrice Weder di Mauro argue that Ukraine’s recovery must be guided by a long-term vision: strong institutions, clean governance, environmental sustainability, and deep integration with Europe.

Key research findings

• The cost of rebuilding Ukraine is estimated to range from $486 billion to over $1 trillion, with the most damage concentrated in housing and infrastructure.
• Rebuilding should be led by Ukraine, but supported by a trusted international agency that coordinates aid, tracks progress, and avoids corruption.
• Reconstruction must go hand-in-hand with Ukraine’s European Union accession, using the process as a roadmap for deep reforms and modernization.

Rebuilding Ukraine—and the world’s approach to recovery

The study doesn’t just offer ideas for Ukraine. It offers a template for how countries can be rebuilt after war or disaster. From using green energy and modern housing to strengthening democratic institutions, the authors argue that "building back better" isn’t just a slogan—it’s a necessity.

They also highlight the need for long-term, predictable funding—preferably in the form of grants rather than loans—and for empowering local communities to lead their own recovery. But they caution that rebuilding will take a decade or more, and will only succeed if it's done with transparency, integrity, and public support. Future research will need to track how well these ideas are put into practice and what lessons can be learned for future conflicts.

Meet the researchers

• Torbjörn Becker: Stockholm Institute of Transition Economics, Stockholm School of Economics, Stockholm, Sweden
  
  
• Yuriy Gorodnichenko: Department of Economics, University of California, Berkeley, California, USA; Centre for Economic Policy Research, London, United Kingdom
  
  
• Beatrice Weder di Mauro: Centre for Economic Policy Research, London, United Kingdom; Department of International Economics, Geneva Graduate Institute, Geneva, Switzerland; Department of Economics and Political Science, INSEAD, Fontainebleau, France

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