Financing the War and Rebuilding Ukraine

This chapter analyses the financial and military aid provided to Ukraine by the Western Alliance. Three main issues are canvassed. First, aid was provided to Ukraine from the Western Alliance. Secondly, the discussion focuses on issues concerning the scenario building for aid for Ukraine’s post-war rebuilding. Thirdly, the discussion turns to the aid fatigue observable within the ranks of the Western Alliance, especially the USA. A brief analysis is offered on the problems concerning the USA’s continuing military funding, focussing on the effects of the congressional stalemate and funding shortfall, depletion of previous funding, the military hardware replacement programme, and the military dynamics on the battlefield. Furthermore, the question of funding the post-war reconstruction of Ukraine is investigated, including the proposal for the West to establish a kind of Marshall Plan for Ukraine. Both funding aspects are pursued under the condition that Ukraine avoids becoming a dysfunctional rump state. It is argued that one of the factors that militates against the allocation of sufficient reconstruction aid is the international economic confidence in Ukraine, which, prior to the war, was one of the poorest and most corrupt European countries.