US may write off almost USD 65 billion in debt for Ukraine

The administration of U.S. President Joe Biden has submitted to Congress a statement of intent to cancel half of Ukraine's debt for economic assistance, which amounts to approximately USD 4.65 billion.

The Voice of America reported this with reference to the Department of State spokesman Matthew Miller, the Ukrainian News agency reports.

In April, the U.S. Congress passed the Additional Ukraine Supplemental Appropriations Act in the amount of about USD 61 billion.

Under the terms of this document, economic assistance of about USD 10 billion is provided to Ukraine not on a free basis, but as a conditional and repayable loan.

The submitted document gives President Joe Biden the authority to write off 50% of this loan.

It provides that from November 15, 2024 - a week after the U.S. presidential election, the incumbent president can write off up to 50% of this loan, while the next president will be able to write off the remaining 50% of the loan on January 1, 2026.

As the Ukrainian News agency earlier reported, in November, Ukraine received USD 1.35 billion in grants from the United States.

In August, Ukraine received USD 3.9 billion in non-repayable grants from the United States through the World Bank.