The governments of Ukraine and the United States will work together to develop a draft agreement on establishment an investment fund for the development and reconstruction of Ukraine.
This was announced by Prime Minister Denys Shmyhal during a government Q&A session in the Verkhovna Rada, as reported by a Ukrinform correspondent.
“The agreement is publicly available, including both the directive and the text itself. It is essentially a preliminary agreement outlining the framework for signing a future agrrement on the establishment of an investment fund for Ukraine’s development and reconstruction,” Shmyhal explained.
He emphasized that after the agreement is signed, a government delegation will be formed and approved by the Cabinet.
“The delegation will receive clear directives, and further intergovernmental negotiations will take place between Ukraine and the U.S. to draft the final version of this investment fund agreement,” Shmyhal added.
According to him, all subsequent steps are clearly outlined in Ukraine’s Law on International Agreements.
“The agreement on the establishment of the Investment Fund will have the status of an international treaty. Consequently, it will require approval by the government and ratification by parliament. The agreement will outline in detail how the fund will operate. We understand that it will be managed (as already specified in the preliminary agreement) by both the government of Ukraine and the government of the United States. Ukraine will contribute financial resources to the fund from a portion of revenues generated from royalties, licenses, and payments for natural resources. However, Ukraine’s natural resources and assets will not be transferred to the United States and will not be considered as contributions to this fund. Instead, revenues earned from natural resource exploitation will partially be directed to the fund’s financing, particularly future revenues,” Shmyhal stated.
The head of the government added that “security guarantees are specified in Article 10, stating that this preliminary agreement is part of the framework of our existing agreements with the United States. A security guarantees agreement has already been signed.”
As previously reported by Ukrinform, on February 26, the Cabinet of Ministers approved a decision to sign an agreement with the United States on establishing the Investment Fund for the Reconstruction of Ukraine. The agreement will include six key provisions.
Source: PM Shmyhal briefs Parliament on U.S.-Ukraine agreement on Investment Fund
