The World Bank reported this Saturday that it is prepared to disburse “quickly” up to $350 million (about 309 million euros) to Ukraine once approved by its Board of Directors, before the end of March. This Saturday the president of the World Bank, David Malpass, met in Munich, Germany, with the Ukrainian president, Volodimir Zelenski, whom Malpass has transferred the support of the entity to the Ukrainian people and their willingness to meet the needs of their economy “short and long term”.
After this disbursement of 309 million “there will be greater budget support and additional reforms, including the energy and climate sectors,” explains the official note from the World Bank. Malpass and Zelensky have also addressed “the robust project plans (from the World Bank) in Ukraine, including energy efficiency, infrastructure, railways and strengthening the economy and employment opportunities in eastern Ukraine.”
The disbursement is in addition to the financial aid approved by the European Union in the amount of 1,200 million in additional funds. The community bloc considers that the geopolitical tensions with Russia are harming the Ukrainian economy and they hope that this package will help mitigate this damage. “Persistent security threats have already caused a substantial capital outflow. Ukraine is losing access to international capital markets due to increased geopolitical uncertainty and its impact on the economic situation.”
The French Minister of the Economy, Bruno Le Maire, the country that holds the rotating presidency of the EU, pointed out that the proposal approval of the European Commission by the Twenty-seven shows that the EU supports Ukraine “also economically”. The idea is to soon disburse a first tranche of 600 million euros. Brussels defends that during the last years the commitment with the modernization of the country of the east of Europe has materialized with important financial aids. Since 2014, when Russia annexed the Crimean peninsula, the European bloc has backed Kiev with €17 billion.
Likewise, Brussels has assured that it prepares a “robust” package of sanctions against Russia if a conflict finally breaks out over Ukraine. In her appearance during the second day of the Munich Security Conference, the President of the European Commission, Ursula von der Leyen, outlined the answer guidelines of the European Union and NATO before a possible Russian invasionbeginning with these warnings.
Without going into details, Von der Leyen referred to these penalties, the imposition of which could mean “a high cost and serious consequences to Moscow’s economic interests.” “The Kremlin’s dangerous thinking, coming from a dark past, may cost Russia a prosperous future,” Von der Leyen warned. “The EU and the transatlantic community are fully aligned and united,” has declared who in any case expressed his wish that “diplomacy ends up prevailing” and the crisis is resolved in the most bloodless way possible.