On July 5, Lugano hosted the first official event dedicated to Ukraine’s recovery. The government team presented its reconstruction plan to international partners and donors, a plan that, according to Prime Minister Shmyhal, was developed by more than 3,000 Ukrainian and international experts. Despite the extensive preparation, significant questions about its implementation remain.
Immediately after the presentation, a discussion broke out among all parties involved — one that moved quickly from the corridors into the public arena. Here are the key takeaways that emerged from conversations with the main stakeholders in Lugano.
Takeaway 1. No clear leader of the recovery process.
Debates over who would lead the reconstruction were already running hot before the conference opened. The Ukrainian government’s position, that it should head this process, was entirely expected.
At the conference, the Prime Minister presented a multilayered structure for the Ukrainian Recovery Platform: a board of national leaders to set strategic direction and vision, a Joint Coordination Group of executive branch heads from partner countries, and thematic working groups by sector. But the state wants to keep all key decisions in its hands.
It comes as no surprise that partners are skeptical of Kyiv’s ambitions to play first violin. Despite the strong support from Ukraine’s closest allies, that support is not unconditional and institutions that poured money into reforms that never materialized have not forgotten. The Ukrainian government will either need to make concessions or build a credible, transparent mechanism that gives donors genuine influence over the process and visibility into how funds are distributed.
The conference also exposed existing tensions between the US and the EU, both of which are competing for leadership in the process — a dynamic that will directly shape the priorities and goals of reconstruction.
Takeaway 2. International support depends directly on Ukraine doing its homework.
The $750 billion figure announced by Ukraine at the forum raises many questions that remain unanswered. The Prime Minister’s speech covered phases, approaches, and funding sources, but that is not enough.
How will coordination work between stakeholders and recovery offices across different countries? What procedures will be used to assess the relevance and effectiveness of reconstruction projects? How will those projects actually be implemented? What kind of investment environment are we creating? And is it even sensible to rebuild infrastructure that no longer fits today’s economic realities and remains a relic of the Soviet era?
No one expected a two-day event to produce fully detailed mechanisms and answers to every question. But the point is that our partners do expect those answers — and they said so, repeatedly. Their message was clear: the pace and quality of the government’s responses will determine the scale of future financial support.
Takeaway 3. Money can’t solve everything.
“Reforms must go hand in hand with investment.” That quote from Ursula von der Leyen captures the expectations not only of international institutions but of private investors as well. The inertia that once kept us afloat will not work this time. Beyond strategic vision, the scale of reform Ukraine needs demands sustained political will and clear communication across the triangle of state, international partners, and Ukrainian society.
Another pressing issue raised was human capital. From skilled construction workers, engineers, and energy specialists to the consultants and managers who would actually implement the plan — Ukraine faces a severe shortage of qualified people. That is one more problem we need to solve.
Takeaway 4. Recovery must begin now.
The Ukrainian government stated this directly and included it as a dedicated point in the plan. But alongside dedicated reconstruction funding, we also require additional flows into the state budget to cover current expenditures.
At the same time, given the risk environment, we cannot count on investment into large-scale projects just yet. Partners are prepared to help keep our economy functioning, but with the war ongoing, its end difficult to predict, and questions around the state’s ability to service its debt still open, the sources for kickstarting reconstruction right now remain unresolved.
There is no question we have broad support and some promising early steps toward building real partnerships. But to offset the risks, we need to offer more and show genuine openness to bold change.
One additional source of recovery funding identified in the plan is Ukraine’s own state budget and that budget is directly tied to domestic entrepreneurial activity. Which brings us to the final, and critically important, takeaway.
Takeaway 5. Ukrainian business must become the third principal actor in Ukraine’s recovery plan.
Running in parallel to the main conference was the Ukrainian-Swiss Business Hub — a forum focused on the real challenges facing Ukrainian business today, and there are no shortage of them. It was organized by the Ukrainian-Swiss Business Association, the Swiss Federation of Small and Medium Enterprises, and the Embassy of Ukraine in Switzerland, in partnership with CEO Club Ukraine.
The Hub’s purpose was to begin building meaningful engagement with international partners, showcase the capabilities of Ukrainian business, and establish business as a legitimate actor with an active role in the country’s reconstruction.
To consolidate resources and develop a shared vision and set of principles, the Coalition for the Modernization of Ukraine was formed, with its representatives participating in discussions throughout the Hub. We made clear that business is ready to take responsibility for the country’s economic front to invest its resources and expertise in helping Ukraine become a new “European tiger.” The interest from foreign partners and private investors in making that happen was real and tangible. But the effectiveness of such collaboration ultimately depends on whether the Ukrainian government is willing to listen to its entrepreneurs, take steps away from a socialist economic approach toward genuine economic freedom, and include Ukrainian business as a full participant in its recovery plan.
We cannot afford to delay and allow the defenders of the past to take the future from us. Beyond the international support we are receiving, we must sort out our internal affairs and seize our historic chance to become a truly European country with political, legal, and economic freedom.
Source: "FORBES" news portal.