Biden wants to write off almost $5 billion of Ukraine’s debt
21 November 2024 01:27
U.S. President Joe Biden has submitted to Congress a statement of intent to cancel half of Ukraine’s economic aid debt – $4.65 billion. This was announced at a briefing by State Department spokesman Matthew Miller, "Komersant Ukrainian" reports citing Reuters.
In the spring, Congress supported the Ukraine Security Supplemental Appropriations Act in the amount of about $61 billion in April 2024. The terms of the document state that the economic aid – a little over $9.4 billion – is not provided to Ukraine free of charge, but as a conditional repayable loan, half of which the president could cancel after November 15.
However, the document submitted by Biden gives him the authority to forgive 50% of this loan. At the same time, the document states that the other 50% will be forgiven by the next US president after January 1, 2026.
“We have taken the step that was outlined in the law to cancel these loans,” Miller said at a press briefing, adding that this step was taken in recent days.
Congress could still block the move, Miller said.
He noted that after the White House notified Congress of the decision, lawmakers could pass a resolution to object to it. But, in his opinion, this will not happen.
“I would be surprised if Congress would take such a step, given the overwhelming bipartisan support in Congress for the aid. But we will follow the law,” the spokesman explained.
