Ukrainian govt to discuss possibility of investment insurance with World Bank - minister

MOSCOW. July 6 (Interfax) - The Ukrainian government may guarantee insurance of minor risks, while investment insurance will be discussed with the World Bank that has relevant mechanisms, Ukrainian Infrastructure Minister Oleksandr Kubrakov said in Lugano.

"Speaking of insurance, we have made the first steps essential for our sector. Truth be told, we, the government, may give such a guarantee if something goes wrong with a container or a riverboat. This is not so expensive," Ukrainian media outlets quoted Kubrakov as saying.

Meanwhile, investment insurance, including a way to make investments cheaper, is about to be discussed with the World Bank that has respective mechanisms, he said.

"For our part, we are ready to provide government guarantees but, being realistic, we understand the need for a joint project, a joint approach with the World Bank and similar organizations, as a way to give additional guarantees to business," Kubrakov said.

Ukraine already has a fund to cover the risks of shipping and railroad transport companies in the Danube region, he said.

Back on June 7, 2022, the Ukrainian government decided to allot UAH 250 million to the Infrastructure Ministry from the reserve fund of the Ukrainian national budget to ensure the security of navigation in Ukrainian ports in the Danube region and rail transportation.

The funds will be kept on the escrow account of the Infrastructure Ministry. The ministry created a similar mechanism in February to ensure the security of flights. The fund enables airlines to continue domestic and international flights.