Grant funding: as U.S. withdraws, Russian and Chinese money will step in

This is unequivocally not a good thing. Especially now, in the conditions of war and resource shortages, particularly in foreign currency.

Are there really people who seriously believe that Ukraine does not need an “extra” dollar right now? Does someone benefit from having more unemployed people? Will the absence of these funds positively impact financial indicators? Does someone not need tax revenues in Ukraine?

If such people exist, they are, to put it mildly, not very competent.

Not only should Ukraine thank the American people for their support, but it must also urgently seek solutions regarding compensatory mechanisms.

Ukraine must work through diplomatic channels to push for an exception for the country (which will be very difficult now, but is still possible).

Read also: USAID and Ukrainian civil society

It is urgent to conduct negotiations at the level of government structures to replace donor funds for critical projects with support from EU countries and the European Union as an institution, Canada, Switzerland, the United Kingdom, Japan, and other nations.

Civil society organizations should diversify their sources of support while striving to maintain an independent, non-partisan stance.

There is no need to create illusions — if any project funding is resumed (mainly for completing ongoing projects), it will not happen soon.

And the fact that the U.S. has so abruptly halted programs through USAID will not bring them any benefits either. Wherever they withdraw, Russian and Chinese money and equipment will step in. But this is an internal decision of the United States.

On the bright side: the most important thing is not just money, but, above all, professional and patriotic personnel. I hope that the Ukrainians directly affected by this will find solutions. The Russian invaders have toughened up everyone who has remained in Ukraine to the extent that this challenge is perceived not as a crash test, but simply as additional difficulties.

Everything will be fine!

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About the author: Valeriy Chaly, Ukrainian diplomat, former Ambassador Extraordinary and Plenipotentiary of Ukraine to the United States.

The editorial board does not always share the opinions expressed by blog authors.