Yellen also announced the transfer of the first $1.25 billion from the latest, $9.9 billion tranche of economic and budget assistance from Washington. In a private meeting with Zelenskiy late in the afternoon, the Treasury said she commended him "for his leadership and resolve in the face or Russia's illegal and unprovoked war." The Treasury said she welcomed Zelenskiy's actions to strengthen governance and address corruption - actions needed to ensure that U.S. economic aid is being spent responsibly.
AIR RAID SIREN ON ARRIVAL
Yellen's visit comes a week after Biden staged an
unannounced trip to Kyiv and promised $500 million in additional
military aid for Ukraine and new sanctions on Russia announced
days later, including effectively banning U.S. imports of
Russian aluminum.
As Biden did, Yellen's staff worked to keep the visit a
secret until she left Kyiv, with a daily media advisory for
Monday saying only that she would "meet with advisors and
staff."
Shortly before her arrival in the capital, city air raid
sirens rang out as a warning of a possible attack, although they
often turn out to be false alarms.
On a chilly morning, Yellen laid a wreath at a memorial
wall for Ukrainian soldiers killed in the war, saying: "I am
witnessing first-hand the devastating toll of Putin’s brutal
war."
Yellen stopped to inspect a destroyed Russian tank and
mobile artillery piece at a city square cleared of visitors for
security purposes. She declined to answer questions.
BUDGET SUPPORT Yellen visited Kyiv on her way back to Washington from a G20 finance leaders meeting in Bengaluru, India, where she urged counterparts to boost economic aid to Ukraine and insisted that G20 ministers issue a strong condemnation of Russia's invasion. Since the war began, the United States has given Ukraine more than $13 billion in economic and budget support funding, and the latest disbursement will push that to over $14 billion, with an additional $8.65 billion expected through Sept. 30. The latest funds are part of $45 billion in new military, economic and humanitarian approved by Congress in December as part of broad U.S. budget legislation. Yellen said such economic support is keeping Ukraine's government and critical public services running, schools open and pensions paid, providing a "bedrock of stability" that fuels Ukrainian resistance. "A sustained military effort cannot succeed without an effective government at home," Yellen said at the Kyiv Obolon School No. 168, where the salaries of teachers, administrators and support staff are reimbursed from U.S. budget support funds. A chalkboard at the school, damaged in Russia's initial assault on the capital last year, read "Crimea is Ours," next to one with "2+2=4." "Maintaining an effective government is indispensable to Ukraine’s capacity to respond to Russian attacks and other emergencies," Yellen added. Ukraine is estimated to need $40 billion to $57 billion in external financing this year to support its economy and is negotiating a $15.5 billion loan program with the International Monetary Fund to partly fill the gap. (Additional reporting by David Lawder; Writing by David Lawder; Editing by Mike Collett-White)
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