The total amount of direct damage to Ukraine’s infrastructure caused due to the war as of June 2023 exceeded $150 billion

2 August 2023

As of June 2023, the total amount of direct documented damage to Ukraine’s infrastructure caused by russia’s full-scale invasion is estimated at $150.5 billion (at replacement cost). This estimate also takes into account the calculations of the experts of the “Russia Will Pay” project on the damage to Ukraine’s infrastructure caused by the Russian Federation’s undermining of the Kakhovka hydroelectric power station in June 2023.

Of the total direct damage, the largest share is the loss of housing stock – $55.9 billion, including about $1 billion in damage from flooding and destruction of residential buildings as a result of the hydroelectric power station. 

According to the preliminary data of the regional military administrations, as of June 2023, the total number of residential objects destroyed or damaged as a result of the hostilities is about 167,200 buildings, of which 147,800 are private houses, 19,100 are apartment buildings, and another 0.35 million are dormitories. The explosion of the Kakhovka hydroelectric power station put almost 37,000 more residential buildings at risk of flooding, most of them in the Kherson region. The housing stock of such cities as Mariupol, Kharkiv, Chernihiv, Sievierodonetsk, Rubizhne, Bakhmut, Maryinka, Lysychansk, Popasna, Izyum and Volnovakha suffered the most damage. For example, according to preliminary estimates, 90% of the housing stock in Severodonetsk was damaged, while cities such as Bakhmut and Maryinka have almost no intact buildings. 

Infrastructure (transportation infrastructure, road infrastructure, rail infrastructure, as well as the aviation and port industries) is the second most damaged sector at $36.6 billion. Since the beginning of hostilities in Ukraine, 19 airports and civilian airfields have been damaged, as well as at least 126 railway stations. The explosion at the Kakhovka hydroelectric power station also damaged port terminals on both banks of the Dnipro River and flooded roads in the Kherson region. 

Damage to business assets is estimated at $11.4 billion. At least 426 large and medium-sized private and state enterprises have been damaged or destroyed since the beginning of the war. The number of businesses destroyed may be significantly higher, as there is currently no information on facilities in the temporarily occupied territories. The explosion of the Kakhovka hydroelectric power station resulted in limited business disruption, as the previous significant impact of hostilities forced businesses to relocate or cease operations in the affected area. 

Education also remains one of the hardest hit sectors, with direct documented damages from the destruction of educational facilities amounting to $9.7 billion. In total, nearly 3,400 educational facilities were damaged as a result of the hostilities. The largest losses from destruction and damage to educational facilities are in the Kharkiv, Donetsk, Chernihiv, Zaporizhzhya and Kyiv regions. 

As of June 2023, the direct damage to Ukraine’s energy infrastructure is estimated at $8.8 billion, including $638 million in direct damage to the sector from the destruction of the hydropower station. Another $8.7 billion is a direct loss to the agricultural industry due to the war. Total losses from destruction and damage to social, scientific, health, cultural, sports, and administrative facilities amount to about $5.9 billion.

The project team also includes volunteers from the Centre for Economic Strategy, Dragon Capital, the Anti-Corruption Headquarters, the Institute of Analysis and Advocacy, Transparency International Ukraine, Prozorro.Sale, Prozorro, Ukrainian Council of Shopping Centres, CoST Ukraine, Vkursi Agro, TVIS Ukraine, Retail Association of Ukraine, Culver Aviation, Centre for Innovations Development.

Detailed data on destruction and damages caused to the Ukraine’s infrastructure were collected by the Kyiv School of Economics (KSE Institute) as part of the project to develop independent methodologies for the analytical assessment of infrastructure damage and economic losses caused by Russia’s aggression, implemented by the KSE Institute in cooperation with the USAID  Economic Resilience Activity. The contents of this publication are the sole responsibility of KSE Institute and do not necessarily reflect the views of the United States Agency for International Development or the United States Government.