Skip to main content

Ukraine's Allies Sounding The Alarm On The Country's Public Finances

A Ukrainian serviceman stands on a tank. A halt to grain and steel exports in the conflict has deprived Kyiv of foreign currency earnings © Reuters  

Financial Times: Allies sound alarm over plight of Ukraine’s public finances  

Budget crisis now acute because of falling revenues and hold-ups in financial support from Kyiv’s partners 

Ukraine’s international partners are sounding the alarm about the mounting pressure on Kyiv’s public finances as Russia’s invasion drives down tax revenue and its allies struggle to provide rapid financial support. 

The US Treasury warned that emergency measures such as money-printing being used by Kyiv to prop up its public finances risked damaging its ability to provide critical public services over time, underscoring the need for allies to meet commitments to provide tens of billions of dollars of grants and cheap loans as quickly as possible. 

EU finance ministers meeting in Brussels on Tuesday agreed on a fresh €1bn emergency loan for Ukraine, but they are struggling to land an agreement on a wider package for the country. 

Valdis Dombrovskis, European Commission executive vice-president, said Ukraine was facing “massive short-term financing needs” and more work was needed to meet them. He urged EU member states to provide financial guarantees sufficient for the commission to advance a planned €9bn package to Kyiv. 

Ukraine’s budget crisis has become acute because of a slump in tax revenues and customs duties since the invasion began almost five months ago together with higher war spending.  

Read more ....  

Update: Ukraine wants $9 billion in monthly aid – FT (RT)  

WNU Editor: One of my Ukrainian cousins is currently staying at my home in Montreal. She fled on the first day of the invasion to Poland, and stayed in France with friends on the hope that the war would end soon. She realized in May that it was not going to end soon, so she made the decision to come here. 

I have mentioned her before, but for those who are new to the blog she was head of the Ukrainian business council a few years back, is a well known Ukrainian TV business personality, and she served in the Zelensky administration as an unpaid advisor on economic affairs up to the end of last year. 

While doing this post this afternoon I asked her if this $9 billion per month request from Ukraine made sense. She said it only scratches what is needed, and it is going to get worse this winter. What is also not going to help is that Ukraine has a long history of corruption. Expect much of this aid (both humanitarian and military) to be siphoned off elsewhere. 

Her advice on how to best prevent this is the EU getting an army of auditors together to enter Ukraine, and be ready to control where every cent goes. Unfortunately I do not see that happening. Auditors are not the type of people you expect will want to enter a war-zone.



from War News Updates https://ift.tt/2y8t93T
via IFTTT
Labels:

Comments

Post a Comment

Popular posts from this blog

US-built first Saudi MMSC frigate HMS Saud launched at Fincantieri’s shipyard

According to information published by the Saudi Ministry of Defense on December 18, 2025, the first Multi-Mission Surface Combatant frigate constructed in the United States for the Royal Saudi Navy has been officially launched at Fincantieri Marinette Marine’s shipyard in Marinette, Wisconsin. The ship, designated HMS Saud with pennant number 820 and also known as Jalalat Al-Malik Saud in honor of King Saud, is the lead vessel in a four-ship program ordered under Project Tuwaiq through the U.S. Foreign Military Sales framework, a deal that defense officials have repeatedly described as a cornerstone of bilateral naval cooperation. Read more.   The HMS Saud (820) has an overall length of approximately 118 meters, in some sources detailed as 118.6 meters, with a beam of 17.6 meters, a draft of about 4.3 meters, and a full-load displacement estimated at roughly 3,600 tonnes. (Picture source: Saudi MoD) Read full Defense news.  from World Defence News https://ift....
Post a Comment
Read more

U.S. Army Conducts Gunnery Exercise With Latest Air Defense System Sgt Stout.

U.S. Army officials confirmed that a live gunnery exercise at Fort Hood, Texas, is underway, featuring the latest-generation Sgt Stout short-range air defense system. The drills mark a significant step toward full operational integration as units across the force adapt to evolving threats from drones, rotary-wing aircraft, and low-flying munitions. It matters because Sgt. Stout enhances the Army’s ability to defend forward-deployed troops and critical infrastructure from modern aerial threats. Read full Defense News at this link ... A U.S. Army SGT Stout SHORAD air defense vehicle maneuvers into firing position during live-fire training with the 6th Battalion, 56th Air Defense Artillery Regiment at Fort Hood, Texas, on October 3, 2025. (Picture source: U.S. Department of War) Read More from World Defence News https://ift.tt/NYmsS1n via IFTTT
Post a Comment
Read more

Four Eastern European Countries Expel Russian Diplomats

Russia's flag flutters in front of the embassy building in Tallinn, Estonia. Copyright RAIGO PAJULA / AFP, FILE   RFE: Bulgaria Expels 10 Russian Diplomats, Baltics Follow Suit With Another 10 Expulsions   Bulgaria is expelling 10 Russian diplomats saying they were carrying out activities deemed incompatible with their diplomatic status, a move followed up quickly by the Baltic nations of Estonia, Latvia, and Lithuania.  The Bulgarian Foreign Ministry said in a statement on March 18 that it had given the 10 diplomats 72 hours to leave. The statement did not give a more detailed reason for the expulsions, but since Russia launched its unprovoked invasion of Ukraine, the Russian ambassador in Sofia has repeatedly made contradictory statements about Bulgaria's position on the conflict. The ministry also did not say who was included on the list of people being expelled.   Read more ....  WNU Editor: With tensions being as high as they are right now, expect ...
Post a Comment
Read more