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Russian assets. This step will stimulate the attraction of new funds to support Ukraine. Yellen's comments came as US funding for Ukraine faces a new hurdle in Congress after the removal of Kevin McCarthy as House Speaker allowed a group of Republicans to delay the next aid package to Kyiv. The governments of some EU countries were waiting for official US approval of a plan to use the profits obtained from more than €200B of frozen assets belonging to the Russian central bank before giving the green light to the plan. It is noted that Russian assets in Euroclear Ltd. Had generated €750M in profit by the first quarter of this year. In Yellen's opinion, Russia should suffer and pay for the damage it has caused.
US support for Israel will not affect aid to Ukraine. The US President's national security adviser, Jake Sullivan, said that the United States can support Ukraine in Europe, its allies in the Indo-Pacific region, and Israel in their hour of need. According to a representative from the US administration, the resources needed to continue supporting Ukraine are not commensurate with the price that will have to be paid in the event of an expansion of Russian aggression in Europe, which could eventually, as it has happened in the past, require the intervention of American troops in the fight. "That's why it's better to support the Ukrainians who stand firm against Russian aggression and to do it permanently, for which we have a budget. We also have a budget to provide Israel with what it needs. And we strongly reject the idea that the US cannot simultaneously support the freedom-loving people of Ukraine and help the State of Israel," said Sullivan.
Ukraine receiving $115B in aid from its partners depends on an IMF program. According to the head of the NBU, Andriy Pishnyi, implementing the IMF program will provide financial assistance of $15.6B and be critical for obtaining $115B in financing from partners over the next four years. He explained that the peculiarity of the current IMF program is not that it was adopted for the country in conditions of uncertainty (war) but because, in addition to Ukraine’s obligations, Ukraine’s partners have obligations as well. The second revision of the IMF program should be completed sometime in December, the chairman of the National Bank expects. If it is successful, Ukraine will receive a tranche of $900M, and the IMF’s total funding will increase to $4.5B in 2023. Pyshnyi believes that despite several problems in implementing the program, the issue of business inspections, and the law on Political Exposed Persons (PEP), Ukraine is in good shape, though not in an ideal situation.
The Pentagon can only finance Ukraine for half a year: there is $5.2B left, and the money will run out. The WSJ writes that the Pentagon's coffers have $5.2B left to provide military aid for Ukraine. If the current speed of support is maintained, this will be enough for about half a year. "This is about 12% of the total amount of $43.9B in security assistance that the US has sent since the 2022 Russian invasion," the article says. Washington also used funds from the Ukraine Security Assistance Initiative (USAI) to support Ukraine, but now that budget has been exhausted. At the same time, the mentioned $5.2B appeared after Pentagon officials discovered an error in accounting. According to the AP, the US Department of defence sent a letter to the House of Representatives and the Senate, saying that the Pentagon is running out of money to replace the weapons that the US has transferred to Ukraine. Of $25.9B that has been allocated, only $1.6B remains. US defence Ministry Comptroller Michael McCord noted that without additional funding, the US will reduce or delay the supply of air defence, ammunition, drones, and breakthrough equipment to
56 UKRAINE Country Report November 2023 www.intellinews.com