Ukraine resource deal: US aims for £16bn boost to cut deficit
The US expects a profit of £16 billion from the agreement with Ukraine regarding resources. These funds are intended to help reduce the budget deficit. The agreement stipulates the creation of an investment fund, to which Ukraine will contribute half of the revenue from resources.
The United States plans to profit £16 billion from the agreement with Ukraine regarding natural resources. According to Kommersant, Kevin Hassett, the director of the White House's National Economic Council, indicated that these funds might be allocated to reduce the US budget deficit.
The agreement between the US and Ukraine establishes a Reconstruction Investment Fund. Kyiv will allocate 50 percent of the revenue from future resource monetisation to this fund.
With this transaction, the US intends to offset the expenses incurred for aid to Ukraine.
According to information provided by the US Department of the Treasury, negotiations regarding the agreement have been completed, and the deal is ready for implementation.
Ukrainian President Volodymyr Zelenskyy confirmed on Wednesday that an agreement has been reached between Ukraine and the US. On Friday, he will meet with the American president in Washington to sign the deal.
He added that he hopes the agreement will include security guarantees for Ukraine, as they are currently lacking. However, according to Trump's circle, the mere financial involvement of the US in Ukraine's business would be a specific form of guarantee.
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