The total amount breaks down to $3.7 billion in public loans and $850 million from private donors. The EU is the largest public donor, pledging €863 million ($1.1 billion) until 2011, followed by $1 billion from the US and $750 million from the International Monetary Fund (IMF). Japan pledged an amount of $200 million.
The European amount includes funding from the Commission, all 27 member states and the European Investment Bank. The EU executive will account for almost two-thirds of total European aid (€500 million), which its President José Manuel Barroso described as "morally imperative" for a "neighbour in need".
According to External Relations Commissioner Benita Ferrero-Waldner, the funding should meet three key aims: rebuilding strategic infrastructure including energy facilities, boosting investment and providing food and shelter to those in need.
The World Bank had estimated the total needs at $3.25 billion until the end of 2010, with the total cost of war damage accounting for $1 billion. These figures, however, came before the current financial crisis and the threat of a global recession.
Georgian opposition leaders sent an open letter to the conference urging donors to strictly monitor the fund allocation. Ferrero-Waldner made clear that the funding is only foreseen for reconstruction efforts and aid relief and not for strengthening the administration of President Mikhail Saakashvili, who Georgian opposition leaders accused of provoking Russia's military intervention in August.
All participants also reaffirmed their strong support for Georgia's territorial integrity and justified their decision not to invite Russia by saying this conference was aimed at showing solidarity with Georgia.
The EU also pledged to upgrade relations with the country in the near future, but stopped short of making any concrete promises.
