Banking

Zelenskiy Seeks More European Support as Funding Worries Mount


(Bloomberg) — Ukrainian President Volodymyr Zelenskiy met with European leaders to press for continued support against Russia’s invasion, amid concerns about the continued flow of US aid.

Zelenskiy kept fellow-leaders guessing about whether he would attend until the eve of a summit in Granada, Spain, because he sought concrete results from a trip, according to people familiar with his thinking. It was not clear to him whether allies were ready to deliver on concrete pledges, added the people who asked not to be named on a confidential issue.

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“Of course it’s a difficult election period for the United States, different voices, some of the voices are very strange,” Zelenksiy told reporters on his arrival for the meeting of nearly 50 European leaders. “We’ll speak about this today.”

The US has stripped out funding for Ukraine in a spending bill to avoid a government shutdown, at a critical stage for Kyiv’s counter-offensive. European backing for Ukraine faces a new challenge after Robert Fico, a candidate sympathetic to Russia, won Slovakia’s election Saturday.

There is a growing apprehension in Ukraine’s political circles that the infighting in Washington may disrupt the steady stream of economic aid. 

Ahead of the European Political Community summit, Zelenskiy spoke to Ursula von der Leyen, the head of the European Commission, to discuss the Granada meeting and restrictions on Ukrainian agriculture exports by some EU members, the people said. 

“Ukraine needs predictability, reliability in the direct budget support,” von der Leyen told reporters. “I’m very confident of support for Ukraine from the United States, what the United States is working on is the timing.”

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Kyiv has seen cracks in relations with Poland, its strongest supporter, over Warsaw’s unilateral ban on Ukrainian grain imports. Ukraine submitted a complaint to the World Trade Organization over the ban, while the government in Warsaw said it will no longer send military aid to Kyiv before walking back some of the remarks. Farmers are an important constituency for Poland’s ruling party, which is facing a tightly-contested parliamentary election on Oct. 15.

Challenges are piling up for Ukraine as winter nears. Its counteroffensive slowed over the past weeks, with soldiers fighting against deeply entrenched Russian forces with heavy casualties. The steady stream of refugees isn’t helping the economy either as the central bank is burning through cash in order to prop up the freshly unpegged national currency. 

The country is also preparing for renewed Russian attacks against its energy infrastructure once colder weather sets in. Meanwhile, cases of corruption in Ukraine are fueling concern among Kyiv’s allies.

Zelenskiy told Italian Prime Minister Giorgia Meloni in Granada that his recent visit to Washington went well, and that it was important to keep the European Union united, in an exchange that was heard by reporters. EU leaders will hold a summit in Granada on Friday.

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Zelenskiy will address the summit and take part in a discussion on multilateralism, security and strategic challenges. Ukraine has “weighty propositions” on the European security architecture to present Thursday, Zelenskiy said on Telegram.

Ukraine’s key task is to strengthen air defense ahead of winter and discuss the freedom of navigation on the Black Sea as his country seeks to resume grain exports damaged by Russia’s naval blockade, he said.

Ukraine may run out of money to purchase weapons from US stockpiles within the next month and a half if the US doesn’t approve a new defense package, Oleksandra Ustinova, the head of a parliamentary commission tracking foreign weapons supply and usage, said on local TV. 

—With assistance from Richard Bravo, Kevin Whitelaw, Piotr Skolimowski and Milda Seputyte.



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