03.02.2026 | News
A new contribution from Sweden of SEK 700 million, approx. EUR 65 million, to Nefco, will support green rebuilding activities in Ukraine, with focus on sustainable waste management, decentralisation-supporting efforts, and green transition activities.
- This initiative brings together Nordic expertise, with Nefco as fund manager and implementing agency in close cooperation with Sida, SALAR International, Avfall Sverige and other Swedish institutions
- All recovery efforts under the new contribution will be inclusive, resilient, and aligned with EU standards
- Total Swedish contribution to Nefco’s Green Recovery Programme for Ukraine is after this contribution EUR 82.3 million
Through this new SEK 700 million contribution, Sweden will further strengthen its support for a green recovery in Ukraine, through Nefco, by focusing mainly on waste management and decentralisation supporting activities.
Sweden’s strategy for reconstruction support to Ukraine 2023-2027 identifies sustainable waste management as a key component of Ukraine’s green transition and states that Ukraine urgently needs to manage and recycle material from destroyed buildings and infrastructure (debris waste), and to modernise its waste management systems with infrastructure investments supported by capacity-strengthening activities and reforms carried out simultaneously.
Under the new contribution three main areas will be supported:
- Strengthening of municipal waste management
- Decentralisation reforms and recovery activities
- Other green transition supporting projects, with synergies between different Swedish institutions to support a green recovery in Ukraine
Building on over two decades of partnership
Building on over two decades of partnership between the Swedish International Development Cooperation Agency (Sida) and Nefco, this contribution from Sweden will mobilise significant resources to support Ukrainian municipalities in rebuilding critical infrastructure, advancing sustainable waste management, and strengthening local capacity building. The initiative brings together Swedish and Nordic expertise, with Nefco acting as fund manager and implementing agency in close cooperation with SALAR International and Avfall Sverige.
The common objective for the three institutions regarding strengthening of municipal waste management in Ukraine, will be to catalyse investments which will facilitate the transformation of the waste management sector of Ukraine towards inclusive and sustainable waste management services, focusing on post-war green recovery of Ukraine.
The cooperation will foster a coordinated “Team Sweden” approach to rebuilding efforts in Ukraine, seeking and utilising synergies among various Swedish institutions.
Activities related to waste management will include mapping and assessing existing waste management infrastructure and systems, identifying gaps and opportunities, and exploring innovative mechanisms for waste prevention, reuse, and recycling. This includes facilitating feasibility studies and initiating investment projects to drive modernisation and strengthen resilience. These activities will be implemented as part of the ongoing Strengthening of Municipal Waste Management of Ukraine Programme, funded by Sida and spearheaded by Avfall Sverige and SALAR International.
The decentralisation window, part of the ongoing Polaris programme and funded by Sida and spearheaded by SALAR International, aims to strengthen municipalities’ public service provision, especially in the regions of Ukraine most affected by the war. Activities across all three areas will be developed and implemented in line with EU standards and requirements.
“This collaboration demonstrates Sweden’s unwavering commitment to Ukraine’s recovery and a greener future,” comments Malin Perhult, Head of the Ukraine unit at Sida. “By combining Swedish resources and Nefco’s expertise, we aim to deliver tangible improvements in municipal services, environmental sustainability, and quality of life for Ukrainian citizens.”
Ongoing pilot project to improve waste management
Sweden is currently financing a EUR 6 million pilot project, managed by Nefco, to promote sustainable reconstruction and debris management in Irpin near Kyiv, one of the cities in the capital region most affected by Russia’s full-scale invasion, with over 900 destroyed buildings. This project in Irpin can be scaled up and used as inspiration and point of reference for hundreds of municipalities across the war-torn country.
In addition, projects funded by Sweden through Nefco—focused on urgent repair, modernisation and development of district heating systems and water and wastewater infrastructure—are being implemented primarily in western and central parts of Ukraine.
“We have been implementing energy-efficiency projects in Ukraine with support from Sweden for 20 years, and we are pleased that Sida has chosen Nefco as the fund manager to develop new initiatives and projects together with key Swedish partners, supporting a long-term green recovery in Ukraine,” says Ulf Bojö, VP, Head of Nefco’s Eastern Europe department.
Nefco currently has over 60 green recovery projects under implementation in Ukraine, financed by Sweden, the European Union, Denmark, Finland, Iceland, and Norway.
For further information, please contact:
Vitaly Artyushchenko, Programme Manager, Nefco
vitaly.artyushchenko@nefco.int, +358 50 9112427
Lia Oker-Blom, Communications Manager, Nefco
lia.oker-blom@nefco.int, +358 10 6180 671
Maria Stridsman, Senior Programme Manager, Sida
maria.stridsman@sida.se, +46 76 495 59 62
Erik Faxgård, Programme Manager Ukraine, SALAR International
erik.faxgard@skr.se
Andrik Mols, International Project Manager, Avfall Sverige
Andrik.mols@avfallsverige.se, +46705356637
About Sida
Sida – the Swedish International Development Cooperation Agency – is a government agency working to create better living conditions for people living in poverty and under oppression around the world. Sida works on behalf of the Swedish government and parliament, and the agency’s activities are funded through Swedish tax revenue. Read more at www.sida.se
About SALAR International
As part of the Swedish Association of Local Authorities and Regions (SALAR), SALAR International work globally to strengthen democracy and good governance at the local level. Building on SALAR´s expertise and Swedish experiences on local self-governance and decentralisation, SALAR International designs and implements projects with context-specific solutions to the challenges and realities in partner countries. The vision is a world where all people have the power to shape their own lives in inclusive local democracies and sustainable communities. Read more at www.salarinternational.se
About Avfall Sverige / Swedish Waste Management Association
Avfall Sverige is the Swedish Waste Management Association, a stakeholder and trade association in the field of waste management and recycling, founded in 1947. The members—the municipalities and municipal companies—ensure that waste is collected and treated in a sustainable way. Avfall Sverige strives for sustainable and innovative waste management solutions, in collaboration with others based on their social responsibility. Their vision is a future without waste. Therefore, Avfall Sverige influences, develops, and collaborates for a future where waste is prevented, recycled and seen as a resource. Read more at www.avfallsverige.se
Photo: Three Ukrainian women and two men are being trained as professional demolition workers through Nefco’s ongoing pilot project in Irpin, funded by Sweden. The course participants will be able to contribute Nordic expertise to Ukraine’s reconstruction – Lotus