PM Shmyhal informs parliament about US-Ukraine Investment Fund agreement

Prime Minister Denys Shmyhal announced this during a government meeting in the Verkhovna Rada, an Ukrinform correspondent reports.

“The agreement is available for review, including both the directive and the document itself. In essence, this is a preliminary agreement that defines the basis for signing a future agreement on the creation of an investment fund for the development and reconstruction of Ukraine,” Shmyhal specified.

He emphasized that after the signing of the agreement, a government delegation approved by the Cabinet of Ministers will be formed.

“The delegation will receive clear instructions, and intergovernmental negotiations between Ukraine and the United States will continue to develop the final version of the agreement on this investment fund,” Shmyhal added.

According to him, all subsequent steps are clearly set out in the Law of Ukraine “On International Treaties”.

“The agreement on the establishment of the Investment Fund will have the status of an international treaty. Therefore, it will require government approval and parliamentary ratification. The agreement will detail how the fund will be formed. We understand that the fund will be managed (as already stated in the preliminary agreement) by both the Ukrainian and US governments. Ukraine will contribute financial resources to the fund from a portion of the revenues received from royalties, licenses, and payments for natural resources. However, Ukraine's natural resources and assets will not be transferred to the US and will not be considered as contributions to this fund. Instead, revenues from the exploitation of natural resources will be partially allocated to finance the fund, in particular, future revenues,” Shmyhal said.

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The head of government added that “security guarantees are provided in Article 10, noting that this preliminary agreement is part of the framework of our existing agreements with the United States. The agreement on security guarantees has already been signed.”

As reported by Ukrinform, on February 26, the Cabinet of Ministers approved the decision to sign an agreement with the United States on the creation of an Investment Fund for the Reconstruction of Ukraine. The agreement will include six key provisions.