Moelven Joins Trade Minister's Call to Rebuild Ukraine

The Minister of Trade Hopes More Will Be Inspired

"When President Zelensky visited Norway last December, he made it clear that Norwegian businesses are welcome in Ukraine. This applies both now and in the major reconstruction after the war is over, a message I have repeated many times myself. It is gratifying to see that Moelven has taken up this challenge, and I hope this will inspire more Norwegian companies," says Minister of Trade Cecilie Myrseth (The Norwegian Labour Party).

About the Partnership

Moelven Byggmodul AS and Itera are partnering to launch a framework for housing construction in Ukraine. This partnership combines Moelven's expertise in wood-based modular construction with Itera's knowledge of local conditions in Ukraine. The goal is to realize housing projects and establish a sustainable ecosystem for future generations while contributing to Ukraine's reconstruction.

The development of this framework has been ongoing for a year, and today, Moelven and Itera have formally signed an agreement confirming their partnership. This collaboration aims to succeed in the market and open up opportunities for many other actors who wish to contribute to Ukraine's reconstruction.

The partnership between Moelven and Itera will generate significant revenue and create value in Ukraine. This will help establish a new market and allow local actors to participate. Together, Moelven and Itera aim to create a foundation that many can be part of and contribute to transforming the Ukrainian housing market.

It is important to note that this framework involves not just temporary living units or construction barracks but high-quality homes that meet Ukrainian building standards. Moelven and Itera have already contributed to changing regulations for the rent-to-own market in Ukraine, working towards ensuring that the housing market becomes sustainable in the long term.

Both parties are committed to creating a strong partnership to strengthen Ukraine’s housing sector and provide dignified homes for millions of people. This partnership marks an important milestone in Moelven’s and Itera’s joint efforts to help rebuild Ukraine’s housing market and create a sustainable future.

6.5 Million Ukrainians Lack Homes

Ukraine has over 6.5 million internally displaced persons, creating an urgent need for decent and affordable housing solutions across the country. There is an enormous need for new homes, and several hundred million square meters of residential area must be built over the coming years.

"We aim to deliver safe and sustainable housing solutions by 2025 before winter sets in. Ukraine faces significant housing needs, with around 6.5 million people lacking homes. Moelven and Itera believe in using business as a tool for rebuilding the country, estimating that one home will cost around NOK 400,000 per person ($40,000). This cannot be solved through donations alone; therefore, we focus on contributing towards enabling Ukrainians themselves to acquire their own homes," says Frode Henning Killi, Director at Moelven Byggmodul AS.

The initiative takes a holistic approach, addressing all necessary aspects required for a sustainable housing program from start to finish with rapid deployment. The goal is to meet the critical housing needs while supporting the long-term reconstruction of post-war society. This will also create jobs in Ukraine and make the economy much more robust in the long term.

Delivering What Ukraine Needs – While Being Good Business

Moelven and Itera are already in close contact with Ukrainian authorities to realize these ambitions. The initiative aligns with the Ukrainian government's eRecovery program, which provides compensation for destroyed or damaged houses. To ensure housing availability for all demographics, Moelven, with the help of Itera, has initiated a rent-to-own program in collaboration with IFC, the EU, and Ukraine.

"From observing Ukraine's challenges from the sidelines, we were inspired to contribute. Through the Norwegian-Ukrainian Chamber of Commerce (NUCC), we found a way in. Our journey started informally but grew through meetings and collaborations, such as with Jon Erik Høgberg and Itera. It became clear that our goal was not just emergency aid but to create sustainable business and support the country's reconstruction. Together with NUCC and Itera, we began speaking the same language and initiated a formal collaboration to realize this vision," continues Frode Henning.

"In this critical time, it is essential that we continue to trade with Ukraine as we did before the conflict started. It is important to buy Ukrainian goods and use services to show our support. Now more than ever, Ukraine needs our reinforced support through economic trade. We are very pleased to help Moelven do exactly this," says Jon Erik Høgberg, Group COO at Itera ASA.