For the past couple of years, billionaire, philanthropist and investor George Soros has been following the debt crisis experience in Ukraine. The country has amassed billions of dollars in debt largely because of the country’s military struggle with Russia. The country is trying to find its way through its hard times. Mr. Soros writes a series of articles that advocate for European nations to offer debt relief and financial assistance to help Ukraine.
George Soros notes that the main reason why the Ukrainian cause has found difficulty with its political reforms is due to problems in the country. In another article, Soros explains how Ukraine is putting its best efforts to get rid of corruption and engage democratic leadership. The reforms have been highly strained due to the current conflict it has with Russia. Soros has claimed that the EU should help Ukraine with the support it needs to stand against the current president of Russia, Vladimir Putin.
Ukraine recently engaged in an unsuccessful negotiations to receive financial aid. The EU has no choice but to advocate for a debt relief for the nation on wsj.com. George Soros has stated that failure to do the same, Ukraine will have no other choice but to default all its debts. He further explains that the default is going to have detrimental results to potential investors in Ukraine and the nation’s economy. Just like Latin America and Greece, Ukraine is going to take only two years to recover if given adequate support and financial aid.
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Mr. Soros has also cautioned the EU of disunity amongst its member states. He argues that the whole union has turned to become a creditor and debtor’s forum in state of a unifying body. The disunity experienced on nytimes.com in these states is likely going to cause a war breakout in Europe coming from Russia. Russia has been a menace to Ukraine and is going to cause difficulties to the EU too.
Mr. Soros argues that the best way to defeat Russia is through its leadership. He continues to say that the instability currently experienced in Russia is not due to any US sanctions. It is a result of poor implementation of policies. A rise of a new Ukraine is likely going to bring out stimulation that should result in tension in Russia. George states that Ukraine’s success is likely to cause tension in Russia. Ukraine’s success is going to urge Russian citizens demand the same from their president. He states that this is going to be the best strategy to humble Russia and to defeat president Putin.
Soros further argues that the EU should provide a form of insurance to any investor or government that would to inject capital into the debt-filled Ukraine. By offering some form of insurance, Soros knows that other investors are likely to follow suite and put in more capital to Ukraine. His is going to stabilize the country’s economy and open up a stable market that would thwart Russia. Foreign investors too should take note of the progressive moves made by Ukraine to improve their economic structure.