State aid often ends up in the West
“Ukraine only gets small amounts”
4/24/2022, 8:01 am
Germany is providing Ukraine with humanitarian, financial and military aid totaling four billion euros. A large sum, which is clearly topped by the domestic aid programs. “Enormous help” looks different, criticizes an economist.
According to an analysis by the Kiel Institute for the World Economy (IfW), the Ukraine aid is mainly going to Western countries instead of Ukraine. “Western countries have done more to cushion the consequences of the war in their own country than to support Ukraine,” says IfW director Christoph Trebesch in an interview with the editorial network Germany (RND). “In countries like France, Germany and Austria, much, much more money has flowed into national programs for fuel price reductions and new energy subsidies. Ukraine only gets tiny amounts from the West.”
A few days ago, the IfW launched a database that shows which nations are supporting Ukraine and to what extent. “Germany has so far promised Ukraine around four billion euros for humanitarian, financial and military aid, including the proportionate aid that will flow through the EU,” says Trebesch, who is responsible for the so-called “Ukraine Support Tracker” responsible for. At the same time, 17 billion euros have been made available for cheaper refueling, five billion euros in grants for companies in need and 100 billion euros for company loans.
Estonia helps the most
“Because of the political statements of solidarity, many people might think that the West is providing enormous help,” criticizes the economist in the RND. “But the numbers speak a different language.”
In comparison to other nations, Germany scores below average in the “Ukraine Supoort Tracker”. In terms of gross domestic product (GDP), Estonia therefore provides the most support. Since the start of the Russian attack on February 24, Estonia has pledged aid worth almost 0.8 percent of its own GDP. Poland follows with 0.18 percent and Lithuania with 0.06 percent. In absolute terms, the USA made the largest commitments with the equivalent of around 7.6 billion euros, followed by Poland, Great Britain and Germany.