KfW has been active in the housing sector in Ukraine for many years. It is currently implementing several housing projects with state and non-state partners that address the specific needs arising from the war. The focus is on creating affordable housing and a safe, liveable environment for internally displaced persons (IDPs) and other particularly vulnerable groups, as well as the long-term, gradual development of a functioning rental market for affordable housing.

New housing is being created in several ways. On the one hand, existing properties – mostly large apartment blocks – are being renovated or converted to provide additional affordable housing. On the other hand, new municipal apartments are being built to serve as affordable housing, thereby supporting low-income households in particular. KfW applies the "Build Back Better" approach to these renovation and construction measures, with a particular focus on energy efficiency. This not only contributes to climate action but also serves as a direct response to ongoing attacks on Ukraine's energy infrastructure and the resulting shortages of electricity and heating.

In addition, a revolving fund provides IDPs and their families with access to subsidized housing loans. This enables them to purchase their own homes and build a new, long-term future. Many of them lost their homes due to the war; having a roof of their own over their heads represents a crucial step toward regaining a self-determined life.

But feeling at home is more than just a roof over your head. A good living environment is important so that people can regain hope as well as social and economic perspectives. That is why KfW is financing the rehabilitation and expansion of social infrastructure in the affected communities. These include kindergartens and schools where children and young people are well looked after and can learn and play, as well as health facilities that ensure basic medical care.

In addition, legal advice is offered for internally displaced persons, particularly on questions of housing and property law. This is particularly important if people have lost their homes due to the war or if property rights are difficult to prove. At the political level, KfW's partners support the Ukrainian government in reforming housing policy legislation. This will lay the foundations for a more transparent, inclusive housing market that will give more people access to safe and affordable housing in the long term.

Given the ongoing destruction, the housing situation in Ukraine is expected to deteriorate further. The programs supported by KfW address this issue and help to counteract this trend. People affected by war and displacement gain access to safe, affordable housing, thereby regaining a measure of stability and normalcy in their daily lives.

Current programs will directly benefit more than 7,000 people through newly created or supported housing. A high proportion of beneficiaries are women; for instance, over 50% of loan recipients are female, many of them are single mothers. In addition, around 30 schools and kindergartens as well as 30 medical facilities have been rehabilitated to date. These are crucial for enabling communities to function again, allowing families to stay in the country or return, and empowering people in Ukraine to actively shape their future despite the war. At the same time, these measures strengthen municipalities by ensuring the long-term availability of affordable municipal housing and advancing the development of an affordable rental housing market.

The project contributes to the achievement of these following United Nations Sustainable Development Goals:

• SDG 1: No Poverty
• SDG 3: Health and Well-Being
• SDG 7: Affordable and clean energy
• SDG 11: Sustainable cities and communities