German Chancellor Scholz hosts an international summit aimed at laying the foundations for a "Marshall Plan" for Ukraine's reconstruction in Berlin on Oct 25, 2022.

The German chancellor sees himself as the leader of the future reconstruction of Ukraine, a "generational work" that can be started without waiting for the war to end, with a clear purpose: as we rebuild Ukraine, we will keep in mind that the country will become a member of the European Union.

The bilateral meeting, entitled "Rebuilding Ukraine", was held ahead of an international summit in Berlin on October 25 led by German Chancellor and European Commission President Angela von der Leyen, with the aim of laying the groundwork for a "Marshall Plan" for rebuilding Ukraine.

More than $750 billion has been spent on reconstruction

Rebuilding requires massive investment. Up to $750 billion is needed, according to the Ukrainian government. However, the Ukrainian side stressed that the reconstruction of Ukraine can bring opportunities for businesses and investors from Europe. Ukraine can be a catalyst for securing Europe's own defence and energy supplies. It added that some of these investment needs could be financed through frozen Russian assets, amounting to $300 billion to $500 billion.

But the current damage to Ukraine's energy infrastructure threatens to drive up bills and fuel a vicious cycle of recession and inflation. Ukraine's Economy Ministry already expects GDP to fall by 37% and inflation to rise by 30% in 2022. So while preparing for the future, it is necessary to ensure that Ukraine can withstand the shock and that its residents do not flee en masse.

Although German Economy Minister Harbeck mentioned a visit to Kiev with a delegation of German business leaders, the absolute priority is emergency winter aid, including the supply of generators and the repair of infrastructure. Editor/Xu Shengpeng