The Council of Europe Development Bank will increase capital to help Ukraine.

The governments of the Council of Europe Development Bank’s (CEB) shareholders, the largest of which are France, Germany, and Italy, have agreed to increase its capital by €4.25 billion, including €1.2 billion of new paid-up capital. This is in response to the bank’s increasing lending to help members cope with the crisis in Ukraine. The bank was founded in 1956 to finance the resettlement of refugees and displaced persons after the Second World War. With €30B in assets, it provides loans to member governments to fund social investments such as schools, hospitals, and public housing. Helping its 42 member states this year, the bank has already provided €1.3B in loans to help Ukraine’s neighboring countries cope with the influx of refugees from the war. The capital increase became necessary to support lending in the coming years and anticipation of new projects in Ukraine after completing the procedure for its accession to the EU.