Loans from Trump: how beneficial is it for Ukraine and its partners?

The 45th US President Donald Trump offered to provide assistance to Ukraine in the form of a “loan”. The politician compared this plan to the agreements he makes with aspiring athletes who have potential, “but no money.”

Chief Consultant National Institute for Strategic Studies Ivan Us told 24 Channelthat there is a joke in the world of financiers: when they want you to unhook, they give you a grant, that is, money that you do not return. To then say: “We gave money, but it doesn’t matter whether the country wins or not.” The situation with loans is a little different.

Are loans profitable

By According to Usa, the loan provider believes that the government will be able to return the money with interest. Of course, it is more pleasant to receive money and not return it than to take a loan and also return it with interest.

However, precisely on the condition of loans – it is a show of trust and expectation that you will win after all. If they believe in you, they give you loans, not grants, because they understand that you will pay it back when you have the opportunity. And it’s important – they believe that you will have the opportunity,” said Us.

Ukrainian partners, by giving us loans, are actually driving themselves into a situation where they will need to help Ukraine not only survive now, but also rebuild the economy later. And after that they will receive certain benefits.

Despite the fact that from the point of view of the burden on public finances, this is not such a good option, but from the point of view of motivating our Allies helping Ukraine win is just a very good thing. Then it will be easier for partner countries to explain to their taxpayers that the money will be returned.

About interest

In 2023, Ukraine received 18 billion euros from the EU for 35 years. Payments begin after 9 years, that is, in 2033. The percentages are quite small. When implementing the reforms requested by the IMF, the interest will be borne by our future partners in the European Union.

If loans from the United States of America are on similar terms – 35 years for repayment, which begins after 10 years, and interest will also be leveled when reforms are carried out – this will be the basis for the interest to be low.

You shouldn’t panic at the word “loan – we will have to pay it back.” I am already silent that there is such a term “debt restructuring”, which Ukraine has repeatedly used. It is given to countries that have good relations with the countries that provide loans – the countries of the collective West. We have such relationships, so the main thing is not to lose them. Then the loans will not be a large debt burden on the country,” stated Ivan Us.

Aid from the US to Ukraine: latest news< /h2>

• The US Senate supported a bill providing for assistance to Ukraine, Israel and Taiwan in the amount of $95 billion, $60 billion of which is for Kyiv. Next, the bill was supposed to be approved by the House of Representatives, but Republican Mike Johnson refused to bring it up for consideration. aid package for Ukraine. The White House is seriously outraged by this decision. They say that instead of stopping the politicization of the country's security, Speaker Johnson “fled” by sending the House of Representatives into early recess.
• Due to the delay in Western aid, in particular from The United States and the Ukrainian military are critically short of artillery shells. As a result, the Defense Forces were forced to withdraw from Avdiivka to previously prepared positions.