By Tass
Copyright tass
WASHINGTON, September 17. /TASS/. The US International Development Finance Corporation (DFC) has transferred $75 mln to a joint reconstruction fund with Kiev, the corporation stated in an official release.
According to the document, the Ukrainian government will make a corresponding payment. These funds, totaling $150 mln, will serve as seed capital for investments in hydrocarbon extraction and other critical minerals.
On May 1, the Cabinet of Ministers of Ukraine published the text of the agreement on subsoil resources signed with the United States. It was ratified on May 12. Following the signing, Ukrainian Prime Minister Yulia Sviridenko announced that Kiev would contribute 50% of all revenues from the new resource rent and newly issued mining licenses on new sites to the bilateral investment fund. She noted that the United States and Ukraine would have equal voting rights in the fund’s management.
The agreement does not entail direct debt obligations of Ukraine to the United States. During the first ten years of operation, the fund will not distribute dividends; all its revenues will be reinvested within Ukraine. Investments will focus on the development and processing of mineral resources as well as infrastructure projects.
