Western financial institutions continue to increase aid pledges to Russia-invaded Ukraine.

The Eastern European bank EBRD pledged 2 billion euros on Wednesday - and gave a pledge to do "everything in its power to help rebuild the country as soon as conditions allow".

Earlier this week, the World Bank pledged $723 million (€657 million) in emergency aid, and before that, the European Investment Bank (EIB) pledged €668 million to complement "other initiatives announced by EU bodies."

Andreas Mihm

Business correspondent for Austria, Central and Eastern Europe and Turkey based in Vienna.

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The two billion euros were used to strengthen resilience and support livelihoods for people in Ukraine and refugees in affected neighboring countries, the European Bank for Reconstruction and Development (EBRD) said.

Funds will be made available quickly to support Ukrainian companies.

As an example, she named payment deferrals for loans, liquidity support, trade financing, including for fuel imports.

If possible, companies will be helped to relocate locations so that they can continue production.

The Ukraine is already one of the countries with the highest financial commitments from the bank: its loans there amount to more than 16 billion euros, last year alone loans of more than one billion euros were added.

In addition, the EBRD will help in countries directly affected by the influx of Ukrainian refugees.

Municipalities face major challenges to cope with the influx of people.

In addition, the bank provides money for the purchase of energy to compensate for the loss of imports from Russia and Belarus.

The same applies to liquidity support for small and medium-sized companies.

No exclusion of Russia and Belarus

The financial framework could also be extended to other countries with special problems in the energy supply.

It must be assumed that the crisis will have serious consequences for many of the economies in which the bank is active.

These are the states of the former Eastern Bloc, the Western Balkans, Turkey and North Africa.

The EBRD condemned the aggression by Russia and Belarus.

Both states have been shareholders in the bank since 1992, but the bank has not pursued any new projects in either country for years.

For the time being, however, no decision has been made on the exclusion or suspension of the states.

The bank's website said it would "soon" decide whether Russia and Belarus should be "indefinitely suspended" from access to EBRD funding and advisory services because of the invasion of Ukraine.

As soon as circumstances allow, they will take part in a reconstruction program for Ukraine.

It is about restoring people's livelihoods, rebuilding businesses, important infrastructure and the state system.

This will be done together with international partners such as the EU and the United States, as well as bilateral donors and other international financial institutions.

Further help is promised.

EIB President Werner Hoyer said the emergency aid package was only a first part.

The bank is examining how it can quickly provide another 1.3 billion euros.

He also affirmed that as soon as the situation permitted, Ukraine would be helped to rebuild the country devastated by war.

Furthermore, all affected EU and neighboring countries are supported in “accepting the countless refugees from Ukraine and coping with the economic damage caused by this terrible war.”