Forgive Ukraine’s debts, Chuy says

Bill passes House, issue heads to Senate 

From staff reports

Legislation designed to bring debt relief to Ukraine—a bill introduced by U.S. Rep. Jesús “Chuy” García (D-4^th)—was passed last week by the U.S. House of Representatives.

The measure instructs U.S. representatives at international financial institutions to use their voice and vote to pursue comprehensive relief for all debt payment owed to those institutions by Ukraine.

U.S. Rep. Jesús “Chuy” García (D-4th)

“Instead of paying debts to institutions like the IMF, Ukraine needs its money to defend itself, support its people, and eventually rebuild,” García said. “I am proud that our bill to suspend Ukraine’s debt to international financial institutions just passed the House. I urge my colleagues in the Senate to bring this bill to a vote so President Biden can sign it into law and give Ukraine the debt relief it desperately needs.”

Joining García in supporting the Ukraine Comprehensive Debt Payment Relief Act were Reps. Mike Quigley (D-5th), Jim Himes (Conn.), David Scott (Ga.) and Alexandria Ocasio-Cortez (N.Y.) .

“As Ukraine struggles valiantly to fend off an unprovoked and brutal attack by Putin’s Russia, the international community has a moral obligation to ease its financial burden,” Himes said. “This bill is a small but important measure we can take to allow the Ukrainian people to focus their attention, energy, and resources toward combating Russian aggression.”

“The United States and our allies must use every tool at our disposal to support Ukraine as they fight for their democracy. I’m glad that the House took one step toward that goal today by voting to suspend Ukraine’s debt obligations,” Quigley added. “This economic relief will ensure that Ukrainians have access to all of their resources as they continue their defense against Putin’s invasion.”

Specifically, the measure:

• Directs U.S. representatives at international financial institutions including the World Bank and the IMF to support the immediate suspension of Ukraine’s debt payments; 
• Directs the Secretary of the Treasury and Secretary of State to help coordinate comprehensive debt relief for Ukraine from government and commercial creditors; and
• Directs U.S. representatives to support concessional financial assistance for Ukraine at the international financial institutions.
• Directs U.S. representatives to seek economic support for refugees from Ukraine and for countries receiving refugees from Ukraine.