Ukraine expects U.S. contributions to Reconstruction Fund this year via cash, military aid
The United States is considering contributing to the upcoming U.S.-Ukraine Reconstruction Investment Fund through both direct financial contributions and the monetized value of military aid provided to Ukraine, First Deputy Economy Minister Oleksiy Sobolev announced.
"Both mechanisms are being considered – cash contributions and military assistance. We expect both to be operational this year," he stated at a press conference in Kyiv on Thursday.
Sobolev confirmed that, in the fund's initial phase, contributions will primarily come from the U.S. side. Based on joint calculations with the Ministry of Finance, if the fund had been established in 2019, Ukraine's real contributions – calculated as 50% of revenues from new and dormant licenses plus 50% of royalties – would only amount to about UAH 3 billion today.
At the same time, Deputy Economy Minister and Trade Representative Taras Kachka clarified that the agreement with the United States is structured in such a way that Ukraine's first contribution will be recognized as the projected future cash flow consisting of 50% of revenues from licenses and royalties.