Canada Announces $2.5 Billion Economic Aid Package for Ukraine Amid War
Carney pledges massive support amid Zelenskyy visit.
Canadian Prime Minister Mark Carney announced a major USD 2.5 billion economic assistance package for Ukraine during a high-level meeting with President Volodymyr Zelenskyy in Halifax, Nova Scotia, emphasizing Canada's continued commitment to supporting Kyiv against Russian aggression nearly four years into the conflict.
The comprehensive aid comprises approximately USD 1.6 billion in loan guarantees directed to the World Bank's International Bank for Reconstruction and Development and the European Bank for Reconstruction and Development, with the balance designed to facilitate expanded lending from the International Monetary Fund and Canada's participation in an extended debt service suspension initiative to alleviate Ukraine's financial burdens.
Carney highlighted that this substantial contribution would serve as a catalyst to unlock billions more in international financing, providing critical economic stability for Ukraine's government operations, reconstruction efforts, and resilience amid ongoing battlefield challenges and infrastructure assaults.
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Zelenskyy, en route to a crucial December 28 summit with US President Donald Trump at Mar-a-Lago, briefed Carney on Ukraine's latest diplomatic maneuvers, including a detailed 20-point peace proposal centered on robust security guarantees, potential economic partnerships, and pathways to end the war initiated by Russia's full-scale invasion in February 2022.
The timing of the announcement underscored escalating tensions, coming mere hours after Russia's devastating overnight barrage of nearly 500 drones and dozens of missiles on Kyiv and other targets, which Zelenskyy condemned as deliberate sabotage of peace initiatives, reinforcing Moscow's apparent determination to prolong the conflict despite Ukraine's persistent calls for negotiated resolution.
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