Aletho News

Ukraine Quagmire Will Cost US $600 Bln More Even If Fighting Stopped Tomorrow – Analysis

By Ilya Tsukanov – Sputnik – 25.08.2023

The US has already committed over $110 billion in military and economic support to Ukraine, with President Joe Biden recently asking Congress for $24 billion in additional cash. Washington’s allies have sent tens of billions of dollars more in aid, with Ukraine quickly becoming the most expensive NATO-instigated security crisis since Afghanistan.

The costs of the geopolitical, military, and economic quagmire which the Biden administration unleashed in Ukraine will continue to steadily rise even if peace were to break out tomorrow, and American taxpayers are expected to largely foot the bill.

That’s the conclusion of an independent economic analysis put out this week by a senior fellow from the Center for Security Policy and the Yorktown Institute, a pair of Washington, DC and Maryland-based think tanks.

The analysis takes into account the World Bank’s March 2023 estimate that Ukraine will require some $411 billion in reconstruction support over the coming decade, plus whatever additional expenses may have arisen between then and now, with the analysis giving an overall ballpark figure of $600 billion+ in total expenses.

The analysis compared these ballooning costs to the $60 billion the US spent on Iraqi reconstruction after the 2003 invasion, plus the $90 billion spent in Afghanistan for reconstruction purposes during the 20-year US-led war and occupation of that country, which culminated in the collapse of the Afghan government and its NATO-trained military almost immediately after Washington withdrew its support in 2021.

“There is no doubt that most of the US assistance to Afghanistan was probably stolen or went over to the Taliban…In the case of Iraq, most of the aid was wasted thanks to bad management, corruption and poor planning,” the report noted. “The US and its allies will need to cough up $60 billion annually to support Ukraine, and expect that a lot of it will be stolen. It will have to keep the funding up for 10 years,” the analysis added.

Citing waning support for continuing the proxy war against Russia from key allies including Germany and Britain, the report expects the US to have to cough up most of the cash. Accordingly, the analysis doesn’t rule out that the Biden administration may be deliberately seeking to prolong the military crisis as long as possible to put off committing reconstruction aid, particularly as a growing majority of Americans, including several major presidential candidates, no longer want to continue endlessly funding the conflict, or the Volodymyr Zelensky government.

Ultimately, the analysis expects Ukraine to become “the most costly” reconstruction operation ever conducted by the US, pointing out that by comparison, the US Marshall Plan reconstruction campaign in Europe after World War II cost “just” $13.3 billion (or $173 billion in today’s dollars, accounting for inflation).

Questions have swirled for months surrounding Ukraine’s post-conflict economic future, with the nation’s gross external debt continuing to mount, and some observers fearing the country will be “crippled” by the debt it owes to the International Monetary Fund and other institutions over the long term. The tremendous interest US hedge fund giants like BlackRock have shown in Ukraine’s fertile black earth soil, as well as the country’s untapped rare earth mineral deposits, has also sparked concerns that Kiev might come out of the present crisis as a full-on economic neo-colony of the United States and its allies.

August 25, 2023 - Posted by aletho | Corruption, Economics, Timeless or most popular | Ukraine, United States