An economic agreement was announced on Wednesday by the U.S. and Ukraine after President Donald Trump pressured Ukraine for weeks to compensate Washington for military and economic assistance to help repel the Russian invasion.
Treasury Secretary Scott Bessent stated in a video posted to X that “this partnership will allow the United States to invest alongside Ukraine, unlock Ukraine’s growth assets, mobilize American talent, capital, and governance standards to enhance Ukraine’s investment climate, and expedite Ukraine’s economic recovery.”
The announcement comes at a crucial time in the war, with Mr. Trump expressing growing frustration with the leaders of Russia and Ukraine due to the ongoing brutal fighting.
President Trump criticized Ukrainian President Volodymyr Zelenskyy for actions prolonging the conflict and rebuked Russian President Vladimir Putin for launching deadly strikes on Kyiv, complicating negotiations.
Following a meeting between Trump and Zelenskyy, Ukraine’s Economy Minister Yulia Svyrydenko celebrated the breakthrough, stating, “Together with the United States, we are creating a Fund to attract global investment to our country.”
While details of the agreement were scarce, it is expected to give the U.S. access to Ukraine’s rare minerals to ensure continued American support for Kyiv in its conflict with Russia.
Ukraine’s Economy Minister and Deputy Prime Minister, Yulia Svyrydenko, traveled to Washington to finalize the deal, according to Prime Minister Denys Shmyhal. Despite progress in the agreement, there were still hurdles to overcome, according to a senior Ukrainian official speaking anonymously.
The agreement is crucial for Ukraine to secure future U.S. military aid and is seen as a strategic deal for joint investment between the two countries.
President Trump initiated negotiations in February, seeking access to Ukraine’s rare earth materials as a condition for continued U.S. support in the conflict. Talks stalled initially but progressed before the agreement was finalized.
The U.S. sought access to over 20 raw materials deemed strategically critical, including Ukraine’s titanium and uranium deposits. After adjustments to address concerns, the latest version of the deal aims for an equal partnership lasting 10 years.
The Ukrainian Cabinet approved the agreement, empowering Svyrydenko to sign it in Washington, pending ratification by the Ukrainian Parliament.
Putin wants answers before committing to a ceasefire
Amid efforts to halt the war, Putin expressed willingness for a ceasefire but called for clarifications before committing. Direct talks with Ukraine are also on the table to seek a peace deal.
Trump has voiced frustration over slow progress in negotiations, with Western European leaders accusing Putin of stalling territorial grabs. Russia has captured a significant portion of Ukrainian territory since the invasion began.
The U.S. State Department urged both sides to accelerate negotiations, warning of potential withdrawal if progress is not made.
Russia rejected a U.S. proposal for an immediate ceasefire, making it conditional on halting Ukraine’s mobilization and Western arms supplies.
UN reports rise in Ukrainian civilian casualties
A UN report revealed a rise in civilian casualties in Ukraine, with attacks causing daily deaths and injuries. The conflict continues unabated, with recent incidents including a drone attack in Kharkiv and strikes on a Russian military facility.
Published – May 01, 2025 04:58 am IST
