Latest news with #postwarreconstruction
Irish Times
17-07-2025
- Business
- Irish Times
Ukraine overhauls government to boost defence production and ties with US
Ukraine appointed a new prime minister as part of its biggest government reshuffle in nearly 3½ years of full-scale war with Russia , as Nato 's top commander said additional Patriot air defence systems would be sent to Kyiv 'as quickly as possible'. Parliament in Kyiv approved a new cabinet led by Yulia Svyrydenko, who as economy minister was praised in April for finalising a deal to give the US priority access to Ukraine's rare earths and other natural resources and to form a joint fund for postwar reconstruction. 'Our government sets its course toward a Ukraine that stands firm on its own foundations – military, economic and social. My key goal is real, positive results that every Ukrainian will feel in daily life,' said Ms Svyrydenko (39). 'War leaves no room for delay ... Our priorities for the first six months are clear: reliable supply for the army, expansion of domestic weapons production and boosting the technological strength of our defence forces. This same urgency must apply to the economy as we make every effort to support Ukrainian entrepreneurs.' US treasury secretary Scott Bessent and then Ukrainian first deputy prime minister Yulia Svyrydenko signing the mineral resources agreement. Photograph: US Treasury Department/X She pledged to bring about 'comprehensive deregulation, an end to unlawful pressure on business, acceleration of large-scale privatisation' and a 'full audit of public spending' which has echoes of the department of government efficiency created by tech billionaire Elon Musk for the administration of US president Donald Trump . [ Ukraine's new prime minister: a dealmaker and potential bridge between Washington and Kyiv Opens in new window ] 'Building our own strength. More weapons production. Deregulation. Closer co-operation with partners. Justice. Digitalisation. Better care for our heroes and their families. These are key priorities ... for the new government,' said Ukrainian president Volodymyr Zelenskiy . Outgoing prime minister Denys Shmyhal (49) was named as minister for defence. Svitlana Hrynchuk (39) moves from being minister for the environment to minister for energy, replacing Herman Halushchenko (52), who becomes minister for justice. Analysts said Ms Svyrydenko's contacts with the Trump administration are important at a time when Ukraine's relations with the Trump administration are both vital and delicate. Mr Zelenskiy also announced that Olha Stefanishyna, a deputy prime minister responsible for Euro-Atlantic integration, would be Kyiv's new ambassador to Washington. Ukraine hopes the US will increase pressure on the Kremlin to end its invasion after Mr Trump pledged this week to send more arms to Kyiv via Nato and to slap 'severe' tariffs on Russian trade unless Moscow sought peace within 50 days. Switzerland said it had been informed by Washington that scheduled arrival of five Patriot systems between 2026-2028 would be delayed after the US decided to 'reprioritise the delivery of Patriot systems to support Ukraine.' Germany and other Nato states are expected to send Patriots to Ukraine and receive replacements from the US. Top Nato commander Alexus Grynkewich said 'preparations are under way' to deliver Patriots 'as quickly as possible' to Ukraine.
Al Mayadeen
15-07-2025
- Business
- Al Mayadeen
UK probes US firm over Gaza ethnic cleansing charges
A prominent US consulting firm is under formal investigation by a UK parliamentary committee over its involvement in planning efforts that human rights advocates say amount to the ethnic cleansing of Palestinians from Gaza. Boston Consulting Group (BCG), one of the world's most influential management firms, has been asked to explain its role in a controversial "postwar reconstruction plan" for Gaza, which reportedly included financial modeling for the mass displacement of Palestinians. Liam Byrne MP, chair of the Business and Trade Select Committee, has sent a formal request to BCG seeking 'clarification and information' regarding its activities, particularly its collaboration with the Gaza Humanitarian Foundation (GHF), a US- and Israeli-backed group criticized for disguising forced displacement as humanitarian relief. A report by the Financial Times revealed that BCG was hired to provide financial analysis for a postwar development plan. As part of the assignment, BCG reportedly calculated the cost of 'voluntarily' relocating hundreds of thousands of Palestinians, a proposal widely denounced by legal experts and human rights organizations as a euphemism for ethnic cleansing. The investigation has also drawn in the Tony Blair Institute (TBI), whose staff reportedly took part in early discussions about the Gaza plan. Internal documents suggest that TBI shared a postwar scenario paper with BCG during the preliminary phase of the project. Although the institute has denied authoring or endorsing the proposal, its involvement has triggered public outrage, particularly given Tony Blair's contentious role in the US invasion of Iraq in 2003. BCG has since disavowed the project, stating that the work was 'unauthorized' and that two senior partners involved have been dismissed. Nevertheless, Byrne has made it clear that the firm's explanations thus far are 'not sufficient". He has demanded a detailed timeline of BCG's engagement, identification of all clients and collaborators, and full disclosure of any UK-based entities, including companies, NGOs, or think tanks, that may have been involved. 'Who commissioned or requested this work?' Byrne asked. 'Which individuals or entities did BCG engage with in this context? Is any such work ongoing or active in any form?' BCG's ties to the Gaza Humanitarian Foundation are now facing parallel scrutiny in the US. Senator Elizabeth Warren has requested a formal investigation by the State Department into GHF's funding sources, as well as into the transparency of BCG's internal review. While BCG has not denied that some of its employees contributed to the financial framework of the plan, CEO Christoph Schweizer acknowledged in an internal message that the firm's involvement is 'deeply troubling and reputationally very damaging.' The UK parliamentary committee has given BCG until 22 July to respond. In a short statement, the firm said, 'We are aware of the request from the House of Commons Business & Trade Committee. We are reviewing the request and are committed to responding.'
Telegraph
12-07-2025
- Business
- Telegraph
How Trump is torpedoing Ukraine's reconstruction efforts
When it comes to the outlook for post-war Ukraine, hope springs eternal among the international community. Last week, scores of Western leaders, along with an army of NGOs, and thousands of businesses from around the world descended on Rome for the ambitiously named 'Ukraine Recovery Conference'. In the words of the organisers, the purpose of the summit was to devise a roadmap that will lead to 'the swift recovery and long-term reconstruction of Ukraine'. Hosted by Italian Prime Minister Giorgia Meloni, high-profile attendees included Donald Trump's special envoy to Ukraine Keith Kellogg, Volodymyr Zelensky, European Commission President Ursula von der Leyen, and German Chancellor Friedrich Merz. In the build-up, the illustrious think tank Chatham House released an upbeat survey of what so-called 'civil society organisations' wanted from post-war reconstruction. Anti-corruption measures and assistance for young people in overcoming the trauma of war featured heavily on a wish list of the Ukrainian people, the report said. Over two packed days, there were sessions on how to repair Ukraine's crippled energy infrastructure, attract investment in the country's critical minerals, and ways to revitalise its shattered manufacturing industry. One panel, attended by foreign ministers from across Europe, was entitled: 'Ukraine's path to the EU'. Zelensky said the pacts that would be forged in the Italian capital would 'make Ukraine stronger'. But no amount of warm words and well-intentioned diplomacy can disguise the fact that Ukraine's future continues to be dictated by the whims of one man: Donald J Trump. A false start The reconstruction of a country that has suffered more than three years of relentless bombardment, will mostly come down to the generosity of strangers – mainly in the West. Without significant outside funding – much of it from private investors – Ukraine is destined to remain a hollowed-out husk for a generation or more. Yet in the days leading up to the Rome pow-wow, hopes for Ukraine's resurrection suffered a major setback after it emerged that Wall Street asset management giant BlackRock, a linchpin of efforts to raise tens of billions for the post-war rebuild, was no longer involved. Even more alarming for Ukraine, reports claim that it was ultimately Trump's election that prompted BlackRock to get cold feet and pull out. In the aftermath of Russia's invasion, the investment powerhouse was pivotal in the creation of something called 'The Ukraine Recovery Fund'. Described as Ukraine's 'Marshall Plan' – a nod to the US economic aid that paid for the reconstruction of Europe following the Second World War – the project was the brainchild of Australian billionaire Andrew 'Twiggy' Forrest. Yet having made his fortune amid the dirt and dust of Australia's frontier mining towns, Forrest needed someone with the heft to bring together global investors willing to pledge serious money to the fund. After a meeting between Zelensky and BlackRock chief Larry Fink, the Ukrainian government proudly announced that the Wall Street titan had agreed to coordinate 'the efforts of all potential investors and participants in the reconstruction of our country'. Weeks later, BlackRock confirmed it would 'advise the MoE [Ukraine's ministry of economy] on establishing a roadmap for the investment framework's implementation'. Forrest predicted that Ukraine would 'enter a golden era'. Fast forward to 2024, and Philipp Hildebrand, vice chairman of BlackRock, was confident that his firm had managed to raise in the region of $2.5bn (£1.8bn) from a club of Western allies, development banks, and private investors. The figure could eventually top $15bn, he thought. Yet even at the upper end of Hildebrand's estimates, it still would only have been a small fraction of the $525bn that the World Bank and others believe it will take to piece Ukraine back together. Forrest was even more optimistic – he envisaged the fund eventually having $100bn at its disposal. Such sums now look wildly overstated with the future of the fund undoubtedly hanging in the balance. Forrest had already expressed his reluctance to remain involved while the US president was talking about enforcing a peace deal on Ukraine that didn't have the blessing of the Ukrainian people. The expectation in Rome was that BlackRock would be in a position to unveil a big commitment from a consortium of investors. With it gone, who will coordinate fundraising from the capital markets now? Reports suggest France had been working on an alternative proposal but without heavyweight American backers, there are doubts about whether it would get off the ground. BlackRock's loss will be felt hard in Kyiv and beyond – but the way that Trump continues to cast a shadow over its sovereignty will be felt harder. It is indicative of a figure whose attitude towards Ukraine has flittered between indifference and outright hostility – in front of the world's media at the White House, no less – only for his stance to soften after repeated humiliations at the hands of a defiant Vladimir Putin. Such inconsistency appears to have ultimately been the catalyst for BlackRock's change of heart. Reports suggest that it was forced into an about-turn because Trump's flip-flopping had spooked the investors it was trying to round up. 'The only conversations that drive our decision-making are those with our clients,' a spokesman said. Failure to communicate Washington's chaotic approach is encapsulated in the debacle surrounding the Pentagon's recent decision to halt weapons deliveries to Ukraine. The move blindsided even those who are usually closely briefed on such matters, including members of Congress, State Department officials and key European allies, Politico reports. According to CNN, the list of people that Pete Hegseth, the US defence secretary failed to inform before authorising a pause on shipments included the president himself. With the White House seemingly unable to make up its mind on where it stands on Ukraine, it leaves the country's ability to determine its own destiny more uncertain than ever. The US is, by some margin, the largest single donor to Ukraine. It is also the biggest provider of military support. Kyiv is facing a deficit of as much as $19bn this year, largely driven by declining US assistance. The Kiel Institute for the World Economy, a German think tank, calculates that the US has provided just over €115bn (£99bn) of support to Ukraine – €3.4bn in humanitarian aid, €47bn in financial assistance, and €65bn in military funding. The country that has provided the next largest amount of aid is the UK, at €19bn. Some experts believe renewed US backing could change the course of the war. Some observers believe a different approach is required altogether. 'Past Ukraine Recovery Conferences have convened thousands of experts and produced grand ideas, with zero follow-through,' American diplomat Kurt Volker wrote in a piece for the Centre for European Policy Analysis, a Washington-based think tank. There are several obstacles to genuine progress, in his view. First, 'no one has taken charge of supporting Ukraine's economic recovery,' and secondly, 'war risk' – with the Kremlin's bombs still raining down on Ukraine 'major private investment has stayed on the sidelines', Volker, a former US ambassador to Nato, said. Victory on the battlefield has to come first, and that can only happen if Western funding increases dramatically to around $150bn from roughly $100bn a year, Timothy Ash, strategist at RBC Bluebay Asset Management, said. With the US looking to do the opposite and reduce its share, European leaders should bankroll the war effort with the $330bn of Russian central bank assets that are frozen in bank accounts across the continent, he said. Yet, concerns about the possible violation of international law, the destabilisation of financial markets, and possible Russian reprisals against Western companies that still have assets in Russia, have ensured the funds remain untouched. 'It's Russian taxpayer money, so we are spending our taxpayers' money to protect theirs. We're imbeciles and there can be no recovery and reconstruction unless you win the war,' Ash said.
Russia Today
10-07-2025
- Business
- Russia Today
France not fit to replace BlackRock in Ukraine
The reported plans by the French government to replace US investment holding BlackRock in Ukraine are 'unacceptable' for the EU nation's people, the leader of France's Patriots party, Florian Philippot, told RT in an exclusive interview on Tuesday. BlackRock had been actively involved in developing a multibillion-dollar Ukraine recovery fund aimed at financing post-war reconstruction projects, with plans to attract $15 billion from public and private investors, including commitments from Germany, Italy, and Poland. The fund, which was set to be unveiled at the Ukraine Recovery Conference in Rome on July 10-11, is now on hold, and France is reportedly working on an alternative plan. Last week, Bloomberg claimed, citing informed sources, that BlackRock halted the search for investors for its fund earlier this year due to US President Donald Trump's rocky relations with the authorities in Kiev. The sources also claimed that France has been trying to set up an alternative structure that could take the spot freed by the US company in the country. However, they questioned if the reported French initiative could succeed without the American money. Philippot told RT that the report by Bloomberg came as a 'complete surprise' for him. He reminded that France is €3.4 trillion (around $4 trillion) in debt and is about to face 'extreme austerity,' blaming the situation on the policies of President Emmanuel Macron. 'We are no longer properly funding hospitals, farmers, security and many other expenditure items. How are we going to replace a behemoth like BlackRock in Ukraine under conditions of total military, diplomatic, financial and economic uncertainty?' the politician wondered. The general public will be against the alleged plans by the government in Paris once more people learn about them, Philippot insisted. 'This is obviously unacceptable for the French,' he added. The Patriots party leader said that Macron's moves regarding Kiev 'make no sense,' urging France's immediate and 'total military and financial disengagement from Ukraine.' He also suggested that BlackRock withdrew from Ukraine because it realized that it is inevitably going to suffer a defeat at the hands of Russia. 'You do not invest in a country that is going to lose,' Philippot explained. BlackRock, which controls roughly $11.6 trillion in assets, owns substantial shares in military-industrial giants such as Lockheed Martin, Raytheon, and Northrop Grumman, among many others. Armaments produced by these firms, which are supplied to Kiev by its Western backers, have seen extensive use in the conflict.
