Finland to provide development cooperation funding to the civil defence coalition led by Finland and Ukraine

On 30 October, the Ministerial Finance Committee decided to support a proposal to provide EUR 11 million in funding to the civil defence coalition led by Finland and Ukraine. The proposal was prepared in the administrative branch of Minister for Foreign Trade and Development Ville Tavio. The support will be channelled through the European Union’s Ukraine Facility to finance the construction of civil defence shelters. Finland has expertise in this sector, and Finnish companies have good opportunities to participate successfully in future procurement processes.

The Ministerial Finance Committee supports the proposal to grant EUR 11 million to the civil defence coalition, which was established earlier this year and is led by Finland and Ukraine. Finland’s contribution to the construction of civil defence shelters will be channelled through Pillar III of the EU Ukraine Facility. This instrument was selected as the main financing mechanism for the coalition because it already includes an ongoing civil defence shelter project implemented in Ukraine by the Lithuanian and Belgian development cooperation agencies. By using these existing structures, Finland’s funding can be put to use efficiently in building shelters to protect schools, hospitals and communities in Ukraine.

During Russia’s war of aggression, civilian buildings, schools and healthcare facilities have repeatedly been targeted by attacks. Currently, existing civil defence shelters cover only about half of Ukraine’s population, and there is an enormous need for additional shelters. Developing a comprehensive network of shelters is expected to take at least a decade. The coalition will help Ukraine launch this long-term effort through grant-based funding and a construction roadmap so that it can continue the construction later with loan and mixed funding. Another advantage of the Ukraine Facility is its scalability, as its second pillar channels loan funding from international financial institutions.

“By co-leading the civil defence coalition, Finland is showing necessary leadership in protecting the civilian population and in mobilising international investment. I have been in close contact with Finnish companies in this sector, and they are ready to operate in Ukraine,” says Minister Ville Tavio.

The inauguration of the civil defence coalition will be held before the end of the year. The coalition brings together key partners and coordinates efforts to strengthen the resilience of Ukraine’s civilian population.

Previously, EUR 2.2 million in funding was allocated for 2025–2027 to support a development and pilot construction project led by the Ministries of the Interior of Finland and Ukraine, and Ukraine’s State Emergency Service. In total, Finland will invest more than EUR 13 million in Ukraine’s civil defence shelters.