Russian-Ukrainian crisis: the United States offers Kiev a loan guarantee of up to 1 billion dollars

Reaffirming its strong commitment to the people of Ukraine, the Biden administration has offered a sovereign loan guarantee to Ukraine of up to $1 billion to support its economic reform agenda and continued engagement with the International Monetary Fund (IMF) in the framework of the military reinforcement of Russia.

Taking to Twitter, US Secretary of State Antony Blinken said: “We are working closely with allies to mobilize strong international support for Ukraine, including a US-backed sovereign loan guarantee. of up to $1 billion to support key reforms. This support will strengthen Ukraine’s ability to bring prosperity to its people.”

“The United States reaffirms its strong commitment to the people of Ukraine by joining allies and partners in mobilizing strong international support for Ukraine. The U.S. government is providing a sovereign loan guarantee to Ukraine of up to $1 billion. dollars to support its economic reform agenda and continued engagement with the International Monetary Fund (IMF),” the State Department said.

This offer – combined with the strong partnership between Ukraine, the IMF, other international financial institutions, the G7 and other bilateral donors – will strengthen Ukraine’s ability to deliver economic stability, growth and prosperity to his people in the face of Russia’s “destabilizing behavior”, according to the official statement.

“This action builds on the support that the United States, our allies and partners, including the G7 and international financial institutions, have provided to Ukraine to help protect its economy from Russian pressure in recent years. years,” he added.

Blinken also pointed out that between 2014 and 2016, the United States issued three separate $1 billion sovereign loan guarantees to Ukraine, which played a critical role in helping Ukraine stabilize its economy in the context of the previous Russian aggression.

“The United States has provided more than $2 billion in development assistance to Ukraine since 2014. The U.S. government has also worked to promote commercial participation of U.S. companies in Ukraine’s economy,” according to the Press release.

In addition, the Export-Import Bank of the United States intends to make available up to USD 3 billion to facilitate the purchase of American goods and services for projects in Ukraine, while the American International Development Finance currently holds an investment portfolio in Ukraine of approximately USD 800 million spread over more than a dozen projects.

Blinken said the United States was exploring other ways to support Ukraine and its people and would continue to advance our efforts.

(Only the title and image of this report may have been edited by Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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