THIS WEEK IN UKRAINE
12 December 2024
U.S. Allocates $20B Loan to Ukraine
The U.S. announced a $20 billion loan to Ukraine, funded by frozen Russian assets, as part of a $50 billion G7 initiative. Treasury Secretary Janet Yellen emphasized that the funds will support emergency services, hospitals, and Ukraine's defense against Russian aggression. The funds are managed via the World Bank, marking a step toward fully confiscating Russian assets to aid Ukraine's recovery.
EU Approves €4.2 Billion Aid for Ukraine
The EU Council approved a €4.2 billion payment under the Ukraine Facility initiative following the European Commission's decision in November. The funds, set for December, will bring 2024 support to €16.1 billion. Ukraine's reforms in anti-corruption, business, labor, and energy sectors secured the aid. This funding strengthens Ukraine's macro-financial stability and social spending, advancing its EU integration efforts.
Ukraine’s Reserves Grow by 9.1% in November
As of December 1, Ukraine’s international reserves reached $39.92 billion, a 9.1% increase in November, driven by $6.67 billion in partner support and domestic bond placements. The National Bank reduced net currency sales by 21% compared to October, while financial instrument revaluations added $71.9 million. Current reserves cover five months of future imports, highlighting strengthened economic stability.
New Industrial Park in Ukraine’s Zakarpattia Oblast
Ukraine's government approved the "Muzhai" industrial park in the Berehiv community, aiming to attract ₴763 million in investments and create 427 jobs. Spanning 30.6 hectares, the park will focus on manufacturing, including food production, wood processing, and vehicle production. Participants gain tax and customs incentives. Part of a national initiative, "Muzhai" joins 98 registered parks to boost Ukraine's industrial and economic growth.
Ukraine Unveils High-Speed Drone Missile "Peklo"
President Zelensky introduced the "Peklo" drone missile, now in serial production. It is capable of 700 km/h speeds and a 700 km range. Designed within a year, it targets stationary ground objectives with precision navigation systems. Smaller and faster than comparable drones, it overcomes traditional defenses like protective nets. The initial batch of approximately 60 units has been delivered to Ukraine's Armed Forces.
€60M EU Loan to Rebuild Ukraine
The European Investment Bank (EIB) allocated over €60 million to repair the MO1 Kyiv-Chernihiv highway and modernize public transport in Kyiv, Odesa, and Sumy. This includes €43.48M for road reconstruction and €17.25M for new buses, trams, and trolleys. The initiative is supported by EU guarantees and is part of a €2 billion solidarity package aiming to enhance mobility and resilience in war-affected Ukraine.
EU Talks: Ukraine’s Defense and Membership Goals
Ukrainian President Volodymyr Zelensky met with a European Parliament delegation to discuss EU membership progress and using frozen Russian assets for defense and air defense needs. Zelensky emphasized Ukraine's commitment to reforms and closer EU ties. The discussion also included financial support, including a €4.1 billion aid package and an upcoming €18 billion loan, and strengthening Ukraine's critical infrastructure defenses against Russian attacks.
Ukraine and Estonia Deepen Defense Cooperation
Ukrainian Defense Minister Rustem Umerov met with Estonian Prime Minister Kristen Michal in Kyiv to discuss cybersecurity, military training, and arms production. Estonia pledged to allocate 0.25% of its GDP annually to aid Ukraine and share its expertise in cybersecurity. The meeting emphasized joint efforts in equipping Ukrainian brigades and advancing long-range weapon production to bolster regional security against Russian aggression.