Source: Gov’t letter to Multidonor Platform part of systemic work with partners

This was reported to Ukrinform by a high-ranking source familiar with the situation, who commented on Bloomberg’s report.

According to the agency’s interlocutor, "the letter from the Ukrainian government was sent to the participants of the Multidonor Coordination Platform after the Dec 19 meeting of the Platform designated budget support as the main direction of its work for 2024. This is part of systematic work with partners."

As Bloomberg reports, in a letter to the key coordination group that controls the funds, Prime Minister Denys Shmyhal noted that funding should be directed to the needs of Ukraine’s budget.

To maintain macroeconomic stability, it is imperative that Ukraine receives sufficient, prompt, and predictable external financing starting in January 2024, Shmyhal wrote in the letter, seen by Bloomberg News.

The prime minister said the MDCP, which was set up by Group of Seven leaders in December 2022 to coordinate international funding, should focus on urgent budget needs.

The head of the government suggested that the donors hold a meeting in January before the meeting scheduled for next month, writes Bloomberg.

Shmyhal also called on donors to begin coordination in order to direct frozen Russian assets to the restoration of Ukraine. The Kremlin "must pay for war and destruction — and that will be the main source of recovery" in the coming years, he wrote in the letter.

Ukraine will undertake all necessary efforts to eliminate the funding deficit, but timely support is needed now more than ever, the head of the Ukrainian government emphasized.

In the letter, Shmyhal noted that he replaced Minister of Infrastructure Oleksandr Kubrakov as MDCP co-chairman with Minister of Finance Serhiy Marchenko. Kubrakov confirmed the decision in a statement on December 20, saying he would focus on infrastructure.

"The work of the Platform is still far from complete," said Kubrakov.

At the same time, Bloomberg recalls that in December 2023, U.S. lawmakers suspended their attempts to reach an agreement on channeling over $60 billion for Ukraine aid before pending holiday vacation.

A EUR 50 billion EU package for Ukraine was blocked by Hungarian Prime Minister Viktor Orbán earlier this month, with debate set to continue early next year.

The MDCP steering committee includes high-ranking officials from the G7, EU, and Ukraine. Co-chairs represent the U.S., the European Commission, and the Government of Ukraine.