The monument will consist of a memorial wall with a permanent flame and the names of the identified victims.
Poland accuses the UPA of killing up to 100,000 civilian Poles, which Poland considers genocide.
The events have long created tensions between the countries.
Earlier this year, the conflict flared up again when Ukrainian President Volodymyr Zelenskyy named a military unit after the UPA.
Poland then responded by withdrawing Zelenskyy's highest award, the Order of the White Eagle.
At the same time, Poland emphasizes its support for Ukraine in the war against Russia and that the monument is intended to promote future reconciliation.
