Without €50B in aid from the EU and additional funding from the US, Ukraine will not be able to keep fighting against Russia or sustain its damaged economy for long.
“This is critical for us because the timeliness and completeness of non-military spending depends on it,” said the head of the parliament’s finance committee, Danylo Hetmantsev.
According to Maria Repko, a top manager of the Center for Economic Strategy, the reality is that it is impossible to cover the non-military part of public spending from domestic sources in a country at war, including the loss of Ukrainian territories taken by Russia, that accounted for a quarter of its territory GDP.
“If in 2023 we discussed other risks, now all analysts agree that the biggest risk this year is not receiving aid,” Repko said.
Without aid and with international credit markets closed, the only way for Kyiv to continue meeting its domestic obligations will be to print money, Repko said.