INVESTING IN THE CONSTRUCTION INDUSTRY IN WARTIME CONDITIONS

Abstract

The author presents a comprehensive approach to addressing the issue of affordable housing in Ukraine amidst ongoing socio-economic challenges, particularly those related to military actions and internally displaced persons (IDPs). This approach involves not only financial instruments but also the effective use of legal mechanisms aimed at restoring the housing stock and ensuring social housing for all population groups. The proposal includes utilizing property rights on unfinished construction projects, which currently constitute a significant portion of the country's real estate. This approach helps reduce the cost of building new housing by leveraging existing infrastructure, thus accelerating the restoration process. Simultaneously, a key focus is placed on improving the energy efficiency of residential properties, which not only reduces energy consumption costs but also creates more comfortable living conditions, easing the financial burden on the budget and resources. Engaging international financial institutions, such as the European Union and the Nordic Environment Finance Corporation (NEFCO), allows for obtaining grants and loans to complete the construction of housing projects that meet social rental requirements. This reduces the financial pressure on the government and enables the redirection of limited resources toward other important projects. The proposal also suggests establishing a support program for completing unfinished construction through escrow accounts, which will ensure transparency in financing and guarantee the safety of investor funds. Additionally, special attention is given to internally displaced persons and other vulnerable population groups, for whom housing remains a top priority. In this context, it is proposed to purchase property rights to unfinished buildings and complete such projects for social purposes, thus providing housing for those who are most in need of support. Through these measures, the author believes that not only the current housing issues can be addressed, but also stable conditions for the sustainable development of the housing sector can be established, aligning with modern requirements and contributing to improved social stability in the country.