Page 36 - UKRRptAug23

budget at the expense of international aid that comes to Ukraine. Last year we received more than $32B; this year, we expect $42B; the next year, we count on at least $ 37B." He also emphasized that the challenges facing Ukraine's economy will remain indefinitely. The macro forecast prepared by the NBU for 2023, 2024, and 2025 considers several factors that present critical risks for its implementation, in particular, the duration of active hostilities. According to NBU estimates, the war will last at least in the phase of active military operations in the first half of 2024.
The World Bank is considering a $1.5B investment in Ukraine's economy.
The World Bank's private investment arm is considering investing $1.5B in several sectors of Ukraine's economy, including banking, agriculture, and infrastructure, said a senior International Finance Corporation (IFC) official. Alfonso García Mora, IFC's Vice President for Europe, Latin America, and the Caribbean, praised the resilience of Ukraine's private sector during the war and said the IFC has provided nearly $400M in support since the Russian invasion began almost 17 months ago. García Mora said the funds have supported foreign trade and key sectors in agribusiness and IT. As for the IT sector, García Mora believes that it can become a revolution in Ukraine, contributing to its recovery and creating a more innovative and diversified economy. According to him, the IFC will focus on the agribusiness sector and plans to support the banking sector as well, and is counting on longer-term infrastructure projects taking shape in the future.
The United States will provide Ukraine with a new $1.3B military aid package. According to a US official, the weapons package includes anti-aircraft defence systems, anti-drone systems, attack drones, and ammunition, reported Reuters.The US uses funds under the Ukraine Security Assistance Initiative (USAI) program, allowing President Joe Biden's administration to buy weapons directly from suppliers rather than remove them from the US arms stockpile. Among the systems and munitions the US plans to purchase for Kyiv is an air defence system manufactured by L3Harris Technologies called VAMPIRE. The list also includes two types of drones: Phoenix Ghost and Switchblade. In addition, Ukraine will receive many anti-drone systems from the Australian company DroneShield Ltd (DRO.AX) and radar systems, sensors, and analytical systems.
The United States announces a new $400M assistance package for Ukraine. On July 25, US Secretary of State Antony Blinken announced a new $400M tranche of security assistance for Ukraine, including air defence munitions and armored vehicles. The aid includes “air defence munitions, artillery rounds, armored vehicles, and anti-armor capabilities, as well as other equipment essential to strengthening Ukraine’s brave forces on the battlefield, helping them retake Ukraine’s sovereign territory, and defend their fellow citizens,” according to a statement. Blinken also slammed Russia’s withdrawal from the Black Sea Grain Initiative, noting that Moscow “continues to attack Ukrainian ports and grain infrastructure," including in the southern port city of Odesa.
USAID provides $250M to support agriculture in Ukraine. The head of USAID, Samantha Paver, condemned Russia's decision to suspend participation in the grain initiative and announced the allocation of $250M to support Ukraine's agriculture. The agency plans to involve the private sector, donors, and foundations to raise these funds. The funds will expand critical agricultural infrastructure: irrigation systems, grain elevators, transshipment
36 UKRAINE Country Report August 2023 www.intellinews.com