BlackRock And Ukraine Join Forces To Manage Investments For The Country’s Recovery

Ukrainian President Volodymyr Zelensky BlackRock Larry Fink, CEO, revealed that the company’s asset manager will coordinate investments for rebuilding the troubled nation.

Zelensky met Fink virtually Wednesday to discuss this initiative. They agreed to concentrate on coordination. “efforts of all potential investors and participants in the reconstruction” Channeling and directing “investment into the most relevant and impactful sectors of the Ukrainian economy,” According to a readout Published by Zelensky’s office, which also revealed that BlackRock executives are scheduled to visit Ukraine sometime in the new year.

An earlier press release from Zelensky’s office described aid from BlackRock as “pro bono.” The firm’s analysts will “include advice on the structure, investment process, governance and use of proceeds for a fund” When creating “opportunity for both public and private investors to participate in reconstructing and rejuvenating the market economy in Ukraine by delivering fair and just returns to investors.”

BlackRock Financial Markets Advisory, and the Ukrainian Ministry of Economy signed a memorandum of understanding Last month, we presented the arrangements.

“We’ve shown that we know how to win on the battlefield. Another important task for us is to achieve victories in the economy as well, and to be an attractive country for investors,” Zelensky spoke earlier this year. “The investment attractiveness of our country is of particular importance. It’s important to me that a structure like this be successful for all parties involved. We are capable, and we want to restore a normal investment climate.”

Officially, the damage to Ukraine’s infrastructure and labor force as a result the invasion has not yet been measured. estimate According to the World Bank, the Ukrainian economy will contract by more than 45% in the next year. The Russian economy is expected to shrink by more than 11%.

“The magnitude of the humanitarian crisis unleashed by the war is staggering. The Russian invasion is delivering a massive blow to Ukraine’s economy and it has inflicted enormous damage to infrastructure,” Anna Bjerde, Vice President of the World Bank for Europe and Central Asia, made these remarks in a statement. “Ukraine needs massive financial support immediately as it struggles to keep its economy going and the government running to support Ukrainian citizens who are suffering and coping with an extreme situation.”

Zelensky was named Time Magazine’s Person of the Year and recently delivered A February joint address in front of the United States Congress was a highlight that rose to international attention. As he leads the war-torn country, many officials initially predicted that it would be destroyed by its neighbor in a matter of weeks, he has been admired by celebrities and Western lawmakers.

BlackRock, which oversees assets worth more than $8 trillion, has in the meantime gained notoriety in the United States amid the company’s support of the environmental, social, and governance movement, also known as ESG. As critics claim that the movement pushes political and social causes in a way that exposes investors, state officials and other market players have pulled investment from BlackRock. BlackRock has implemented “voting action on climate issues” A stewardship agreement was signed against dozens upon dozens of portfolio businesses report Publication date: Two years ago