Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if his Department will make an assessment of the potential merits of providing additional financial aid rather than loans to Ukraine to help support that country with its sovereign debt.

The UK is one of the largest aid donors to Ukraine and has committed over £3.8 billion in assistance. This includes approximately £400 million in economic and humanitarian grant support.

To alleviate Ukraine’s debt burden, the UK, as part of the Group of Creditors to Ukraine, announced on 20 July a suspension of debt service due by Ukraine from 1 August 2022 to end-2023. This initiative provides fiscal support to Ukraine and will allow the government of Ukraine to focus its scarce resources on its urgent budgetary needs.

The UK Government continues to closely monitor Ukraine’s financing needs in conjunction with its international partners and the IMF and World Bank and is working to ensure pledged funds reach Ukraine as rapidly as possible.