With new crises popping up every day in international politics, it is easy to lose sight of ongoing situations in more remote areas of the world. George Soros Ukraine is working hard to make sure that we do not forget about the plight of Ukraine. Not so long ago, Russian intervention in Ukraine was an extremely hot issue in international politics. However, Soros is now concerned that we have lost perspective on the long term battle for political reform and economic stability in Ukraine. As the dust settles from the recent Russian military debacle, Soros urges us to remain focused on the serious potential for widespread reform in making Ukraine and open society.
Soros does acknowledge that Ukraine accumulated quite a massive debt while it was fighting off imminent military intervention from Russia. From his perspective, it would be very dangerous for the European creditors of Ukraine to focus exclusively on collecting the data from Ukraine right now. Should they choose to pursue this route as opposed to extending further financial assistance to Ukraine, George Soros worries that Ukraine may not be able to maintain the reforms it has undertaken so far. Although the general outlook is positive that more democratic political reforms will continue in Ukraine, the political situation is still fragile. The country is dealing with a long history of rigid bureaucratic controls. Many of the political figures in Ukraine who thrived under the bureaucratic government are not supportive of the massive reforms being instituted.
George Soros – Forbes
Soros has done an excellent job on selling European leaders on the potential benefit in helping Ukraine. There is no doubt that Soros has seen and invested in enough of the world that he knows the importance of generating long-term economic growth in a developing country. In addition to pushing for more extensions of credit to Ukraine from European countries, Soros is also advocating for political risk insurance. This insurance would be available to individuals and companies looking to invest in the less than ideal financial environment in Ukraine right now. To offset the risks of doing business in such a fragile country, the political risk insurance would offer a payout in the event of financial catastrophe.
Soros understands that solutions requiring countries in Europe to pay more money for Ukraine might be met with heavy opposition. He does his best to frame the problem in Ukraine as a collective problem for all of Europe. In a positive light, Soros further explains that a successful Ukraine is a good thing for the entire continent. The sooner that Ukraine is stable enough to be open for business and investment, the quicker Europe will have access to an additional market for trading. To put it bluntly, Soros says that Ukraine will not soon forget the countries that helped it out during one of its most tumultuous periods. Europe has the chance to shine while helping out a neighboring country in a very serious predicament. The relationships and economic opportunities to be gained by European leaders far outweigh the costs.
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