What comes after Ukraine’s agreement with US: Ukrainian Prime Minister names next steps
Photo: Denys Shmyhal, Prime Minister of Ukraine (Vitalii Nosach/RBC-Ukraine)
The minerals agreement with the US sets the framework for signing a future agreement on the establishment of an investment fund for the development and reconstruction of Ukraine, RBC-Ukraine reports, referring to Ukrainian Prime Minister Denys Shmyhal.
According to Shmyhal, after the signing of the agreement:
- A relevant delegation will be formed, which will be approved by a Cabinet of Ministers decision. The delegation, in turn, will receive the appropriate directives;
- The governments of Ukraine and the United States will work on a draft agreement to create an investment fund for the development and reconstruction of our country.
The next steps are outlined in Ukraine's law on international agreements.
Agreement on creation of investment fund
As the Prime Minister explained, the agreement will be an international treaty. It will be approved by the government and ratified by the Verkhovna Rada. The agreement will detail how the fund will operate.
The investment fund, as noted by Shmyhal, will be managed by the governments of Ukraine and the US Kyiv, for its part, will contribute to the fund from revenues from rent, licenses, and payments for minerals. At the same time, Ukraine’s minerals and property will not be transferred to the United States and will not be considered as contributions to the fund.
The revenues generated from the subsoil will partially go into the fund’s capital.
Minerals agreement
On February 26, the Cabinet of Ministers approved the text of the framework agreement with the United States titled "Agreement on Establishing Rules and Conditions for the Ukraine Reconstruction Investment Fund." The agreement contains six key points:
- The creation of an Investment Fund for Reconstruction;
- Subsoil and resources belong to Ukraine and will not be transferred to the US;
- Kyiv will contribute 50% of future revenues from its natural resource assets to the fund;
- The US will make contributions to the fund in the form of money, financial instruments, and other assets critical to Ukraine’s reconstruction;
- Funds raised by the Investment Fund will be invested exclusively in projects for the country’s recovery;
- The agreement takes into account Ukraine’s commitments as part of its European integration process.
Today, February 28, President Volodymyr Zelenskyy will meet with Donald Trump. The negotiations are expected to include the signing of the agreement.
