David Lawder and Aftab Ahmed
BENGALURU (Reuters) – U.S. Treasury Secretary Janet Yellen further on Thursday Calls for increased financial support for Ukraine to help it fight a year-long Russian invasion as the U.S. prepares for an additional billion in economic aid. The head of the Russian invasion said it was vital the IMF “acted quickly” to provide a well-funded loan program to Ukraine.
“As President Biden has said, we will stand with Ukraine and fight — as long as needed,” she said. “Continued strong support for Ukraine will be a major topic of discussion during my stay in India.”
Yellen will be joined by other finance ministers and central bankers from the
group Nation meets on Friday at resort near Bengaluru tech hub. It was the first major meeting of India’s year-long presidency of the group, which includes the wealthy G7 democracies as well as Russia, China, Brazil and Saudi Arabia.
The G7 finance ministers said in a joint statement that the group hoped Ukraine and the IMF would be able to agree on a loan program by March, adding that they had Financial aid to Ukraine increased to $39 billion. German Finance Minister Christian Lindner said his country was already supporting Ukraine and now other countries must also do their part.
Ukraine is seeking 10 more than $100 million – after meeting IMF Managing Director Kristalina Georgieva in Kiev, Prime Minister Denis Shmihal said on Monday that this is the IMF’s annual plan. ) billion to enable Ukraine to maintain economic and financial stability.
“Our economic aid has made Ukraine’s resistance possible by supporting the home front: funding critical public services and helping to keep the government afloat. In the coming months, we expect to provide support for Ukraine’s Provide approximately 10 billion in additional economic support,” she added.
Government sources told Reuters the government did not want to discuss additional sanctions against Russia at the G20 meeting. G20 India also urged participants to avoid using “war” in the communiqué to describe the conflict, the G20 official said.
But Yellen said the communiqué was still being worked out and that she wanted to see a “strong condemnation” of the Russian aggression and its damage to Ukraine and the global economy.
Still, she said the global economy is “better today than many predicted a few months ago”.
Yellen says G20 fiscal officials keep trying even as headline inflation starts to moderate in the U.S. and globally Keeping inflation in check is important, adding: “We’re not out of the woods yet.”
She said G20 countries, China in particular, need to work hard to restructure Debt in low- and middle-income countries faces distress, with Zambia and Sri Lanka in particular the “most pressing” cases. The G7 also said the group would also work on debt relief for these “fragile countries”.
Yellen said the U.S. and China would resume talks on economic issues “in due course” but also warned Beijing that providing any material support to Russia’s war effort would be “inappropriate”. A very serious problem”.
Some air traffic between Washington and Beijing has been slammed after a suspected Chinese surveillance balloon floating over the continental United States was shot down this month. Contacts are suspended, including a previously planned visit to China by Yellen and Secretary of State Anthony Blinken.
Yellen told reporters that the United States will soon nominate a candidate for World Bank president. With a major U.S. stake in the World Bank, Yellen has a big say in who leads the institution, which plans to open nominations for the post later Thursday.