The finance ministers of the G7, in their meeting in Bonn, discuss about granting 15 billion euros in aid package for Ukraine.
This aid package is going to help the Ukrainian economy, paid in the form of grants over 3 months and unlike the debts it doesn’t have to be repaid. This is going to support the Ukrainian economy which has been suffering since the war started.
The US had offered to contribute half of the aid worth 7.5 billion as the G7 ministers wanted to agree on a joint communique.
Russia’s criticism:
Russia responded by saying it would be “outright theft” if G7 uses their frozen money to reconstruct Ukraine. When the war began western countries sanctioned Russia and froze their 300-billion-dollar money kept in western institutions.
Kremlin spokesman Dmitry Peskov said that Russia has not been informed about the use of their frozen assets and if it happens it would be “illegal, blatant and of course, requiring an appropriate response…it would be, in fact, outright theft.”
European response:
German finance minister, Christian Linder, stated in an interview, “I am politically open to the idea of seizing the foreign assets of the Russian Central Bank.” He took a different view regarding using the frozen assets of Russia to reconstruct Ukraine. He commented, “We have to respect the rule of law, even if we are dealing with Russian oligarchs.”
On the other end, some European politicians have been in the favor of using Russian assets to fund the reconstruction of the Ukrainian economy.
Is War coming to an end?
A negotiated surrender that allowed Ukrainian soldiers to be evacuated from a Mariupol steel plant, may potentially end the battle. But Ukraine soldiers remained at some other location like the Azovstal Iron and telework etc. President Volodymyr Zelensky reported that “the evacuation mission continues.”
As war progress in its last phase, the question of reconstruction will be asked repeatedly. The war has damaged the Ukrainian economy badly and it would desperately want aid from other countries. The aid is to come either from frozen Russian assets or self-funded by G7 and their allies.
Is aid going to be enough?
By the end of April, the physical damage to Ukraine’s infrastructure from the Russian invasion had reached almost $60 billion and continued to rise with each passing day said the World Bank President, David Malpass.
Additionally, president Zelensky outlined more damage and asked for generous aid. His assumption was Ukraine needs almost $7 billion per month for its economy to stay afloat. According to the Ukrainian prime minister, Ukraine’s GDP could decline by 30% to 50% and this would amount to a loss of $560 billion so far.
Ukraine is in the dire need of aid and it must be substantial as well as delivered quick.
United States aid to Ukraine:
Congress is preparing for a $39.8 billion package to aid the Ukraine war effort. Before this, there has been $13.6 billion packages in March also.
After the passing of the $33 billion packages, the US aid to Ukraine is going to cross the 50 billion mark and there could be more. This time the US has decided to help without putting their foot on the ground and so far, it has benefitted both sides.
What lies ahead for Ukraine?
Throughout the war, Ukraine has enjoyed wide support from around the world. Donations and aid have been coming from all over. The world has tried to give its best effort to save the rule of law which seems more and more in danger as we progress into the future
Ukraine has borne a great loss and it will continue to haunt people for the coming years but the victory in the war is going to be like a pat on the back for the Ukrainians. They have claimed their territory from the aggressor and put out a clear message to the world and neighbours that they are not to be taken for granted.
Europe has gone through two World Wars, emerging stronger every time; Ukraine too shall rise prosperous, strong and proud.
Edited By : Aaradhana Singh
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