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US House, Senate pass Ukraine aid

The US has passed legislation which offers $US1 billion in loan guarantees to Ukraine and punishes Russian officials for their role in Crimean aggression.

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Source: AAP


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The US House and Senate have overwhelmingly adopted separate Ukraine aid packages, including sanctions against Russians, easing a weeks-long impasse on how American lawmakers can help Kiev's new government.

Senators were almost unanimous in a voice vote to pass their legislation, which offers $US1 billion ($A1.09 billion) in loan guarantees pledged to Ukraine by President Barack Obama and punishes Russian officials and others for their role in Moscow's Crimea aggression.

The House measure, which passed 399-19, was slightly different, and the two would need to be reconciled before being sent to the White House for Obama's signature.

Lawmakers and aides say the final law could likely be finalised this week.

Both bills crucially left out language approving International Monetary Fund reforms that would change the way aid is distributed through the fund.

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The White House had backed such a broader bill, including the IMF reforms, saying the changes would allow more aid to flow more quickly to Ukraine as the new government in Kiev grapples with a teetering economy.

But several Republicans objected, including House Speaker John Boehner and leaders in the Democratic-controlled Senate relented.

Lawmakers then moved with lightning speed on the aid package, perhaps in a bid to show a semblance of American unity as Ukraine faces an invasion by Russian President Vladimir Putin.

Ukraine is "looking at what the West's resolve is in the face of this aggression," Senator Robert Menendez, chairman of the Senate Foreign Relations Committee, said shortly before the vote.

"If the Senate speaks with one voice, I think President Putin will understand the consequences of miscalculating further."

The Senate bill includes $US50 million ($A54.37 million) for democracy building and improved governance efforts, and $US100 million for enhanced security cooperation.

Despite Congress's IMF snub, the fund announced a vital bailout pledge of up to $US18 billion for Ukraine, but which requires the country to pursue painful and unpopular reforms to avert bankruptcy.


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