Ukraine to receive largest wartime direct investment of $435 million

The European Bank for Reconstruction and Development (EBRD) and the International Finance Corporation (IFC), a member of the World Bank Group, will provide a $435 million loan to the newly formed Ukrainian telecom group Datagroup-Volia-lifecell, as was announced by the creditors on October 10.

This project marks the largest direct foreign investment in Ukraine's economy since the start of the Russian invasion.

The investment will help the newly formed group improve mobile services for 10 million subscribers and provide faster, more reliable fixed Internet access for approximately 4 million households.

The project will aid the recovery of the telecommunications sector, which has suffered direct damage of $1.9 billion and losses of $750 million due to Russian aggression, according to the press release.

A majority stake in Datagroup-Volia-lifecell is held by the French telecommunications investment holding NJJ, owned by French billionaire Xavier Niel. NJJ's partners include Horizon Capital, a leading private equity fund in emerging European markets. The new holding is led by Datagroup-Volia CEO Mykhailo Shelemba.