US, Ukraine sign landmark deal to boost post-war reconstruction

The United States and Ukraine have signed a major economic agreement aimed at accelerating Ukraine’s post-war reconstruction, establishing a joint investment fund to support the country’s long-term recovery.

The agreement, formalised on 30 April, creates the US-Ukraine Reconstruction Investment Fund, which will channel American and Ukrainian resources into rebuilding key infrastructure and revitalising Ukraine’s economy, heavily damaged by Russia’s full-scale invasion in 2022.

US Treasury Secretary Scott Bessent and Ukraine’s Economy Minister Yulia Svyrydenko signed the agreement in Washington, with officials describing it as a “historic economic partnership” that reflects deepening ties between the two nations.

“This agreement demonstrates our shared commitment to peace and prosperity for Ukraine,” Secretary Bessent said. “It sends a clear message that the United States is invested not just in Ukraine’s defence, but in its future as a sovereign, thriving nation.”

The fund will initially focus on high-priority sectors such as energy, infrastructure, and strategic minerals. According to Ukrainian officials, profits generated from new licenses and rents on natural resources will be reinvested into Ukraine for at least the next decade.

Ukrainian Prime Minister Denys Shmyhal emphasised that the deal preserves national ownership of key state enterprises and aligns with Ukraine’s ongoing efforts to integrate with the European Union.
“This is not about selling off assets, but about creating a vehicle for investment that respects Ukraine’s sovereignty and supports our economic independence,” Shmyhal said.

The agreement also involves the US International Development Finance Corporation (DFC), which will coordinate with Ukraine on project financing and private-sector engagement.

Though welcomed by both governments, the deal follows months of intense negotiations, with some Ukrainian lawmakers previously voicing concerns over transparency and control. Revisions to the framework addressed those concerns, ensuring compliance with EU standards and domestic legislation.

Analysts say the fund could also serve a broader geopolitical purpose by reducing Western reliance on critical materials from countries like China and by reinforcing US support for Ukraine amid a drawn-out conflict with Russia.

The Treasury Department said the fund “underscores the generosity of the American people” and aims to “unlock the talents and capabilities of both nations” to aid Ukraine’s recovery.