The losses of the Ukrainian telecom market, which has undergone significant destruction due to Russian aggression, have already reached $2.6 billion, according to the Ministry of Digital Transformation of Ukraine, citing a World Bank estimate.
Until February 24, Ukraine had the largest high-speed Internet coverage in Europe — in 2021, more than 7,000 additional social facilities were connected, and more than 1 million Ukrainians in 3,000 villages got the opportunity to use high-speed Internet for the first time. Due to Russian aggression, more than 720 Internet operators suffered significant losses – the digital infrastructure, hundreds of kilometers of cable and tens of thousands of pieces of equipment were destroyed. In total, almost a quarter of all the country’s Internet networks have collapsed, which is more than 1.7 million fixed lines and more than 3,000 mobile base stations.
The largest telecom losses are concentrated in the East of Ukraine. Operators providing services in the Kharkiv region suffered 22% of losses, Zaporozhye – 18%, Donetsk region – 17%, Kherson region – 10%, Chernihiv region – 6%, Luhansk region – 7%.
As of July 2022:
Well
UI/UX Design for the evening
Discover the profession of a UI / UX designer in 5 months, learn at a free hour
REGISTER!
- the quality of fixed Internet in Ukraine has returned to the pre-war level (in early May it was 13% lower), while mobile communications remain 19% lower;
- 12.2% of settlements completely lost access to mobile communications, and 3.1% – partially;
- 11% of base stations of mobile operators do not work.
According to the World Bank, in order to restore the telecom sector in Ukraine, it is necessary:
- $1.79 billion – to clear the area of missile debris and the consequences of the invasion and rebuild the destroyed and damaged infrastructure,
- $0.71 billion to purchase towers, cables, fiber and construction equipment,
- $ 0.1 billion – the amount of losses of companies due to lost subscription fees.
The World Bank estimated the economic losses of the telecom market at more than $0.1 billion. After all, companies provide 22% fewer services than before February 24, and continue to lose income.
The assessment of reconstruction needs is preliminary as the war continues. With each de-occupied city, there is evidence of broken networks and a new need to quickly restore communications.
The assessment is based on the World Bank disaster damage assessment methodology ( Damage, Loss, and Needs Assessment Guidance Notes, Volumes 1–3 ). It was implemented by the World Bank team for cooperation with the Ministry of Digital Development, NCEC, the Kyiv School of Economics and central executive authorities and military-civilian administrations.
