Deputy Secretary Wally Adeyemo’s Trip to Ukraine Amid Russian Advances and Financial Support Discussions

Deputy Secretary Wally Adeyemo’s Visit to Ukraine Amidst Russian Aggression

Deputy Secretary Wally Adeyemo of the US Treasury Department is currently in Kyiv for discussions with Ukrainian government officials regarding US financial support for Ukraine, tightening sanctions on Russia, and utilizing immobilized Russian sovereign assets to aid Ukraine in its defense against Russian forces.

Adeyemo’s visit comes at a critical time as Russia continues to gain territory on the battlefield, exacerbated by a delay in US military aid that left Ukraine vulnerable to Russia’s superior army. The financial stability of Ukraine is also a growing concern, making Adeyemo’s discussions all the more crucial.

During his visit, Adeyemo is scheduled to meet with officials from Ukraine’s finance ministry and the president’s office. Additionally, he plans to engage with the Kyiv School of Economics to collaborate with faculty and civil society groups on sanctions policy and enhancing the effectiveness of sanctions against Russia.

In April, President Joe Biden signed legislation enabling the US government to seize approximately $5 billion in Russian state assets located in the US. However, the majority of the $260 billion in frozen Russian assets are in Europe, prompting US officials to seek consensus from European allies on how to utilize these funds.

US Treasury Secretary Janet Yellen recently met with G7 counterparts in Italy to strategize on leveraging frozen Russian assets to support Ukraine’s defense efforts. Discussions have included the possibility of loaning Ukraine $50 billion from these assets, although the specific approach is still being deliberated.

Since the start of Russia’s invasion of Ukraine in February 2022, the US has imposed sanctions on over 4,000 individuals and businesses, including a significant portion of Russia’s banking sector. The ongoing discussions between US and Ukrainian officials underscore the importance of international cooperation in addressing the escalating crisis in the region.