Development and expansion of border infrastructure with EU countries and the Republic of Moldova.

Sector

Transport Sector

Stream

Development and expansion of border infrastructure with the countries of the European Union and the Republic of Moldova

Entry into Portfolio

State level of SPP

Maturity level

0

General Information

Program Description

Development and expansion of border road infrastructure, namely, state border crossing points for road traffic and access roads to them within controlled border areas; Development and expansion of service areas.

Strategic Case

Program Goal

Main Goal: Creation of new facilities and services
Secondary Goal: Improvement of infrastructure condition
Problems: One of the key reasons for the difficulty of project implementation was the termination of the participation of international partners, in particular the USAID technical assistance project "Economic Support to Ukraine", which provided for financing work on the preparation of project documentation, technical supervision, and construction works, as well as rapid updates of checkpoints. After the suspension of this project, a gap in funding arose, which, in turn, led to a slowdown in the implementation of key initiatives. Solutions: 1. Attracting alternative sources of financing - introducing new intergovernmental financial instruments, in particular, according to the Ukraine Facility model, with the allocation of credit or grant resources; including projects in priority lists for financing by international financial institutions (EIB, World Bank, etc.) 2. Reviewing budget programs - initiating amendments to the Resolution of the Cabinet of Ministers of Ukraine dated 18.02.2025 No. 174 in order to expand budget funding within the framework of program 3111020 for checkpoints and access roads to them.

Strategic Relevance of the Program

Sector
Transport Sector
Subsector
Road Border Crossing Points
Stream
Development and expansion of border infrastructure with the countries of the European Union and the Republic of Moldova
Strategic Document
National Transport Strategy of Ukraine until 2030
Task
1 Development and expansion of border infrastructure with the countries of the European Union and the Republic of Moldova

Program Objectives

Indicator
Baseline Value
Target Value

Economic Case

Economic feasibility of the program

What are the main benefits expected from the implementation of the program for the economy, business, society, or individual industries?

Improving energy efficiency
Improving business conditions
Increasing employment levels, creating new jobs
Growth in production, market volumes of goods/services/investments
Reducing regional imbalances
Infrastructure development
Improving the quality of life of the population
Increase in budget revenues

Does the program objective provide for a contribution to the climate goal of mitigating the effects of climate change?

Reducing or avoiding greenhouse gas emissions

Does the program objective provide a contribution to the climate change adaptation objective: reducing the impact and/or reducing the vulnerability of an asset or population to one or more types of physical climate hazards?

None of the options are applicable

Does the programme objective provide for a contribution to the climate objective of sustainable use and protection of water and marine resources?

None of the options are applicable

Does the program objective provide for a contribution to the climate goal of transitioning to a circular economy?

None of the options are applicable

Does the programme objective provide for a contribution to the climate objective of pollution prevention and control?

None of the options are applicable

Does the program objective provide for a contribution to the climate goal of protecting and restoring biodiversity and ecosystems?

None of the options are applicable

What social consequences are relevant for your program, after its implementation?

Increasing employment levels
Improving living conditions
Improving access to basic services
Reducing social inequality

Why is it advisable to implement projects in the format of one comprehensive program, and not separately?

Ability to simultaneously cover several interrelated aspects of a problem and ensure a systematic approach
Cost reduction through pooling of resources and centralized management
Implementing activities within a common or adjacent territory to achieve a more effective result
Ensuring coordinated planning, management and monitoring of projects within a single structure
The need to comply with legal requirements, government strategies or policies

How will the program help strengthen other economic processes or reforms?

Optimization of logistics or production chains
Promoting the development of related sectors of the economy
Support for the implementation of state or sectoral reforms
Deepening integration into international economic processes
Stimulating digitalization and innovation

Program Components

Financial justification

Total estimated program cost

16'671'689'049 UAH

Estimated cost of program components

14'988'281'180 UAH

Component

Amount

Development of the network and maintenance of public roads

14'988'281'180 UAH

Additional expenses related to program preparation and implementation

1'683'407'869 UAH

Training costs

Year
Amount

1

31'465'192 UAH

Implementation costs

Year
Amount

1

1'651'942'677 UAH

Cost justification

Short description

Justification documents

n/a

607 in the system[1].pdf

n/a

Positive Solotvino 1691_25_250630_154532[1].pdf

n/a

Expert report ex01_3685-0007-3090-3943_20250724030857[1].pdf

n/a

Small Berezny.pdf

n/a

Pre-design document for the construction of the Yagodyn ZKR terminal.pdf

Sources and mechanisms of financial support for the implementation of programs.

Status
Funding mechanisms
Coverage, %

Investment

Non-repayable financing. Grant financing from existing international support projects, international technical assistance programs, and grants. Direct expenditures.

50%

Non-repayable financing. Direct budget financing. Funded from the general fund of the state budget.

86%

Justification documents
To the documents
What potential funding sources can be mobilized on the basis of prior agreements or intentions to cooperate (if any)

None available

Management Case

Total program duration (months): 60

Approaches to project selection

Have approaches and criteria been defined for including public investment projects in the program, initiators of such projects, and their prioritization?

Yes

Organizational Measures

New construction

24 months

Construction work of modernization facilities

12 months

Design of new construction projects

8 months

Design of modernization facilities

6 months

Risk Assessment

Risk

Probability

Degree

Strategy

Risk

Negative impact of construction work on the environment

Probability

Low

Degree

Critical

Strategy

Avoidance

Risk

Reduction in funding

Probability

Medium

Degree

Considerable

Strategy

Avoidance

Risk

Lack of funding

Probability

Medium

Degree

Critical

Strategy

Avoidance

Risk

Lack of funding

Probability

Medium

Degree

Critical

Strategy

Avoidance

Risk

Delay in design and construction due to difficult engineering and geological conditions; Inconsistencies in design solutions

Probability

Low

Degree

Considerable

Strategy

Avoidance

Risk

Increasing project implementation costs due to inflation, exchange rate fluctuations, and rising prices for construction materials and equipment

Probability

High

Degree

Considerable

Strategy

Acceptance

Risk

Tension among the local population due to temporary inconveniences during construction (noise, road closures, increased traffic flow)

Probability

Medium

Degree

Considerable

Strategy

Avoidance

Program Approval History

DateDecision NumberPortfolioProgram StatusDecisionReasonsMaturity level
14/08/2025SP-N-140825-C5737667State SPPreparationInclude--
01/10/2025SPP-N-011025-50D2D4DFState SPPPreparationInclude-0