U.S. and Ukraine sign economic deal that includes terms for natural resources in the war-torn country

Importance Score: 75 / 100 🔴

In a late Wednesday statement, the White House disclosed the signing of an economic alliance with Ukraine. This pact encompasses a contract regarding the stewardship and extraction of natural resources within the conflict-stricken country.

U.S.-Ukraine Reconstruction Investment Fund Established

Finance Secretary Scott Bessent affirmed that the accord, known as the United States-Ukraine Reconstruction Investment Fund, will empower the U.S. to partner with Ukraine. This collaboration aims to harness the nation’s growth potential and hasten its financial rebound.

Commitment to Peace and Sovereignty

Bessent emphasized, “As the President has articulated, the United States is dedicated to aiding the termination of this brutal and unreasonable war. This accord sends a clear message to Russia that the U.S. administration supports a peaceful resolution focusing on a free, independent, and thriving Ukraine in the long run.”

He further elaborated, “President Trump envisioned this alliance between the American and Ukrainian peoples to demonstrate both nations’ dedication to enduring peace and affluence in Ukraine.”

Bessent supplemented, “It is crucial to reiterate that no entity or individual who funded or supplied the Russian war apparatus will partake in Ukraine’s reconstruction.”

Ukraine’s Control Over Resources

Yulia Svyrydenko, Ukraine’s minister of economy, furnished additional particulars about the mineral agreement within the pact. She initially stated in a post that “the Ukrainian government decides what and where to extract,” and that “subsurface resources remain under Ukrainian control.”

Management and Financing

Ukraine and the U.S. will jointly oversee and possess a shared stake in the investment fund, with neither side exerting predominant influence, Svyrydenko disclosed. The fund will be backed by fresh Ukrainian licenses for oil, gas, and crucial minerals, with 50% of all proceeds from these licenses directed towards the fund.

Svyrydenko hinted in her post that the U.S. will also inject funds into the initiative, though the exact sum remains undefined.

This is a developing story. Please check back for updates.

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