G20 meet: Yellen pushes for more economic aid to Ukraine

Says global economy in a better place today than many predicted

US Treasury Secretary Janet Yellen on Thursday pushed for more economic support to Ukraine on the eve of the first anniversary of the Russian invasion of the Eastern European nation.

“In the coming months we expect to provide about $10 billion in additional economic support for Ukraine,” she said in a press conference in Bengaluru ahead of a meeting of the G20 finance and central bank heads.

The $10 billion aid is part of a broader $45 billion assistance package for Ukraine approved by the US Congress in December 2022. The US has shelled out “over $46 billion in security, economic and humanitarian assistance” to Kyiv so far.

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“Continued, robust support for Ukraine will be a major topic of discussion during my time here in India,” Yellen said, highlighting the war at a time when G20 host India was trying to play down the conflict. It is the first major meeting of India's presidency of the bloc.

India, which has kept a neutral stance on the war, does not want additional sanctions against Russia to be discussed at the G20 meetings and was pressing participants to avoid using "war" in communique language to describe the conflict, news agencies have reported.

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Yellen highlighted it was critical for the International Monetary Fund to "move swiftly" towards a fully financed loan programme for Ukraine.

Ukraine was seeking a $15 billion multi-year IMF programme, agencies reported citing Prime Minister Denys Shmyhal earlier this week.

She also used the chance to highlight that the global economy was “in a better place today than many predicted just a few months ago” – marking a clear shift in tone on the outlook from the last time top policymakers met in October.

While inflation was starting to ease around the world, she urged G20 finance officials to work harder to fight it.

"We are not out of the woods yet," Yellen said.

She also called on all G20 nations to engage in meaningful discourse for the resolution of debt distress of many developing countries and emerging economies, including that of Zambia and Sri Lanka. Other items on her agenda include the global energy markets, climate change and the evolution of multilateral development banks.