Prime Minister Denys Shmyhal expressed hope that the minerals agreement between the governments of Ukraine and the U.S. will be signed within the next 24 hours.
The head of government announced this on national television, Ukrinform reports.
“Today, First Deputy Prime Minister Yuliia Svyrydenko is on her way to Washington. We are already finalizing the remaining details with our American counterparts. Indeed, this is a strategic agreement on creating an investment fund, a partnership. This is a truly equal, good, international agreement on joint investments in the development and restoration of Ukraine between the U.S. government and the Ukrainian government. As soon as all the remaining details are finalized, soon, I hope, within the next 24 hours, the agreement will be signed and accordingly we will get the first step,” he said.
According to Shmyhal, after the agreement is signed, two more technical documents will be signed on the creation of an investment fund and its financing and replenishment.
The head of government also disclosed some details of the agreement. According to him, it lays down establishing an investment fund in Ukraine with a 50-50 distribution of management shares and shares that will be contributed by both parties. Contributions will be made in cash. At the same time, the American side will be able to count new military assistance to Ukraine as a contribution to that fund.
“Ukraine retains control over all resources. That is, subsoil, infrastructure, natural resources shall not be part or a condition of this fund, this agreement. Ukraine only makes a contribution from new licenses, from new rent on mineral mines,” he noted.
The head of government emphasized that no debts or assistance that has been provided to Ukraine before the signing of the agreement shall be subject of this document. According to the prime minister, the deal will include only new assistance or new cash contributions.
“It is very important that this fund invests in the development and recovery of Ukraine and the Ukrainian economy for 10 years. This can be both capital investments in setting up enterprises, in the development of mineral extraction, and agreements on the purchase of certain products, made in Ukraine, under the take-or-pay rules,” he said.
The agreement also exempts the parties from taxation and customs duties. At the same time, it provides that the American side undertakes to engage other international partners or private businesses in the work to support the fund.
Shmyhal added that the document will not harm Ukraine’s accession to the EU and its European integration obligations. In addition, the U.S. recognizes Ukraine’s contribution to global security through the mention of the Budapest Memorandum.
As Ukrinform reported, Bloomberg, citing informed sources, noted that representatives of the governments of Ukraine and the U.S. may sign an agreement on mineral resources today, April 30.
Source: Minerals deal with U.S. may be signed within 24 hours – PM Shmyhal
