Das ABC der Hilfe für die Ukraine

[Michael Bernstam](https://www.hoover.org/profiles/michael-s-bernstam) and Steven Rosefielde outline an alternative structure for the utilization of Russian assets to assist Ukraine as it continues to try to repel Russian forces from its territory. Rather than “borrow [$50 billion](https://www.g7italy.it/wp-content/uploads/G7-Leaders-Statement-on-Extraordinary-Revenue-Acceleration-ERA-Loans.pdf) from the market to aid Ukraine by taking the profits from frozen Russian assets [to repay the loan](https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=OJ:L_202402773),” the authors suggest the creation of “an independent trust fund, which can serve as a quasi-bank,” directly incorporating those frozen assets. Bernstam and Rosefielde suggest that this non-governmental fund could be staffed by an international board which could select professional fund managers. The authors argue, “The trust fund meets the two necessary and jointly sufficient conditions for a well-functioning and stable financial institution. It provides a steady flow of funds to borrowers and it preserves the capital balances for the next loans and for the owners. The first condition is good for Ukraine and the West. The second condition is good for Ukraine, the West and Russia.”

How do you evaluate this proposal? Do you share the authors’ concerns about the structure of the proposed “appropriate, borrow and compensate” model?