UK announces new funding for Ukraine, low-income countries

LONDON

The British government on Thursday announced new funding for both Ukraine and low-income countries.

Chancellor Jeremy Hunt confirmed an additional $500 million for Ukraine, plus $670 million for developing nations.

This brings total UK funding for International Monetary Fund's (IMF) trusts to $5.3 billion to help reduce poverty and boost energy security, plus $1 billion for Ukraine this year, according to an official statement.

The decision comes as Hunt attends the IMF’s spring meetings in Washington.

"The $1 billion of budget support we have committed to Ukraine this year will ensure that the country has the financing to keep the lights on, hospitals running and schools open. This, alongside UK military support, will help defeat (Russian President Vladimir) Putin," Hunt said in a statement.

"But our efforts for a fairer world doesn’t end there. We are also making good on our G7 Presidency commitments and delivering a multi-billion-pound package of support to reduce poverty and bolster energy security across developing countries," he added.

The UK has committed to providing £6.5 billion ($8.1 billion) of assistance to Ukraine.

This support includes £2.3 billion in military aid for 2023 and £1 billion in loans that are guaranteed by the UK to support Ukraine's economy, ensuring that it can continue to pay pensions and public sector wages in 2023.

In June, the UK will also host the Ukraine Recovery Conference, which aims to encourage additional investment from the private sector.​​​​​​​