“We have agreed on our needs: five billion dollars a month over the next three or four months. It is the funding necessary only for humanitarian and civil needs, not military ones ». Sergii Marchenko, Ukrainian finance minister, says this in an interview with Corriere, after attending the summit of the International Monetary Fund last week. He has a vital task for Ukraine: finding the resources for the country to survive and explaining to European governments how to weaken Russia by hitting gas and oil.
“We are aiming for collective action by the G7 countries, the Monetary Fund, the World Bank,” he says. «Having direct transfers not to be repaid would be better, of course. But loans are also a possibility, we are looking for any way to cover our deficit. Italy was the first country to support us after the war began, with a donation of 110 million euros. In Washington last week I met Minister Daniele Franco and he told me that your government is discussing giving us another 200 million on loan ».
His estimate of the cost of the devastation inflicted by Russia “could be hundreds of billions of dollars. But now I think we can invite a team from the World Bank. Let them make a reliable calculation ».
According to Marchenko, these damages must be compensated by seizing and using the hundreds of billions in euros and dollars held abroad, now frozen, of the reserves of the Russian central bank. The question, however, “is how to implement this idea. My Canadian colleague Chrystia Freeland on this moved very quickly. Her government intends to take over the power to sell the seized Russian assets and turn the proceeds to the victims of the war. They will seize the Canadian dollar reserves of the Russian central bank and make them available to Ukraine. Other countries should do the same, I think. The United States and then the United Kingdom too ».
In the same way, he continues, “I hope there will be joint actions by the European Union: at the G7 we talked precisely about how frozen Russian assets can be used for Ukraine. Even those of the oligarchs under sanctions, we think ”. Of course, he admits, “I don’t know if it’s legally possible, the jurists are studying the matter. It might take a political decision, a law, even if I’m a bit skeptical because of the bureaucracy. Ursula von der Leyen, Charles Michel and Valdis Dombrovskis help us, but we need real leadership in Europe. A person who pushes, who answers questions, organizes the work ».
But Germany could do more, he explains. “I have had many good talks with my colleague Christian Lindner, who is a very good friend of Ukraine. His government has just released the first tranche of a 150 million euro loan to us, which was decided more than two years ago. We just got the money. We expected from Berlin no less than what we receive from London or Washington ”. And he adds: Germany “is the largest economy in Europe, one of the largest in the world, yet it offers a tenth of the support we have from others. Italy, France, Canada, the Netherlands, Japan and even small countries like Lithuania have come forward with funds. Germany pledged another 150 million two months ago, but there has been no disbursement so far. Now, however, I see her more supportive than she was in the first month of the war ».
And finally Marchenko’s request to Europe for a “total embargo” on gas and oil. “It’s our number one priority,” he says. “If that is not possible or if it takes time to get there, then price caps could be set on gas or oil. Or duties. Maybe even on all imports from Russia, and the funds raised could go to the reconstruction of Ukraine. Russia receives one billion dollars in oil and gas from Europe every day. And every day the war costs Ukraine 400 million in expenses and losses. It must be rebalanced ».
Yet, he admits, Moscow “has collected enough reserves in its sovereign fund and perhaps has other assets as well. Even with zero oil and gas, the Russians can hold on for a while. For now I am in a very comfortable condition, despite the sanctions ».
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