Ukraine seeks security guarantees through natural resources deal with the US 

Ukraine President Volodymyr Zelenskyy (Courtesy: Reuters photo)

Ukraine’s President Volodymyr Zelensky is optimistic about a draft agreement with the United States, which he hopes could secure future security guarantees for Ukraine. However, the deal, which is a “framework” rather than a concrete commitment, stops short of providing explicit security assurances.

The deal’s framework: No explicit security guarantees yet 

Zelensky acknowledged that the draft deal, which focuses on natural resources, does not include “concrete steps on security guarantees.” The deal, as outlined, only mentions US support for Ukraine's efforts to secure necessary security guarantees for lasting peace, without committing to specific actions. Zelensky emphasized that the deal serves as a framework and a starting point for discussions, particularly during his anticipated meeting with US President Donald Trump. CNN reports that Ukraine is hopeful this deal can serve as a step toward obtaining security guarantees for its future defence.

Details of the draft deal

The deal, which Ukraine and the US agreed to in principle, involves the creation of a joint-owned “Reconstruction Investment Fund.” According to the draft text, Ukraine will contribute 50% of all revenues from monetizing its state-owned natural resources, including hydrocarbons, oil, natural gas, and rare earth minerals, to the fund. The deal is signed by Ukraine’s Foreign Minister Andrii Sybiha and US Treasury Secretary Scott Bessent, marking a key step in strengthening the two countries’ financial cooperation.

Ukraine’s stance on repayment

Zelensky clarified that Ukraine would not repay any of the financial support provided by the US under this deal, stressing that accepting debt repayment would set an unfavourable precedent. He reiterated Ukraine’s “gratitude” for US support in the ongoing conflict with Russia, but made it clear that he would directly ask Trump whether the US would continue its support. CNN reported that Ukraine remains committed to securing ongoing assistance from the US while seeking alternatives, such as directly purchasing weapons if aid is cut off.

Trump’s stance on financial support 

Former President Trump has been vocal about his desire to reclaim US financial aid sent to Ukraine, falsely claiming that the US has given $350 billion since February 2022. The actual amount is closer to $120 billion. Trump expressed frustration with the lack of repayment from Ukraine and argued that the US had been made to feel “stupid” for its contributions. However, French President Emmanuel Macron corrected Trump’s claim during talks, explaining that Europe had also contributed significantly to Ukraine’s financial aid.

Zelensky’s concerns and future plans

Zelensky expressed concerns over the potential cessation of US aid, warning that without continued support, Ukraine would seek to purchase weapons directly from the US by using frozen Russian assets, which amount to around $300 billion. CNN reports that Zelensky’s visit to Washington, D.C., could be pivotal in determining the future of US-Ukraine relations, particularly regarding military aid.

While the draft agreement between Ukraine and the US signals a positive step in financial and resource cooperation, it still leaves questions about security guarantees unanswered. As Zelensky seeks to secure lasting US support, the future of Ukraine’s relationship with the US remains uncertain, with continued financial and military assistance hanging in the balance.