Friday, September 6, 2024

The rapid popularity of US presidential candidate Kamala Harris worsened the prospects for a quick agreement on the terms of a $50B loan to Ukraine.

As Politico explains, before President Joe Biden dropped out of the race for the White House, the prospect of a Donald Trump presidency prompted diplomats on both sides of the Atlantic to put aside their differences to complete the loan process by the end of the year. Instead, the prospect of Harris winning has taken some of the issue’s urgency.

As a result, the split between the EU and the US over the intricacies of the loan, which will be repaid from the proceeds of frozen Russian assets, is becoming increasingly apparent. The loan for Ukraine was agreed on back in June, but the EU and the US still differ on the details. Since most frozen Russian assets are located in Europe, Washington is demanding that the EU ensure that they remain frozen until Moscow pays post-war reparations to Ukraine. However, this requirement is difficult to implement because it requires unanimity, and several European countries oppose the move.

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The US State Department makes an urgent plea for the billions allocated to Ukraine to be used before they “burn up” at the end of September.

Friday, September 6, 2024

Several US public organizations have appealed to the State Department to use the remaining $6.2B set aside for aid to Ukraine that is still available within the limits of the president’s authority, but only until the end of the budget year, which expires on September 30.

“If the funds are not used, it could be an alarming signal regarding the US’ support for Ukraine,” said a Union of Ukrainian Women of America representative.

Without these funds, according toto the representative, people will leave Ukrainian cities en masse, which will lead to a refugee crisis that will affect both Europe and the US.

The Razom for Ukraine organization warns that if the current rates of “decline” in allocations are maintained until September 30, then approximately $5.7B will remain unused. The organization called on the State Department to provide Ukraine with all $6.2B in aid at once, which “would send a powerful message to Ukraine, Russia, and American voters that the administration of the US president wants Ukraine to win.”