I’d like a receipt for any misappropriated funds

Zelensky may be the world’s best fundraiser.

He has possibly raised $20 billion in cash and goods within a month.

And he keeps making the call and dialling for dollars.

Very impressive.

I don’t think Blackstone, Carlyle or Park Lane could have raised and closed off a fund that quickly.

He did it decades faster than Bernie Madoff.

But where will that money go?

Where will it be spent?

Does it find its way into inappropriate bank accounts?

Could I please get a receipt for that?

Keep in mind that Ukraine is Europe’s poorest and most corrupt

country.

While Putin is a despot, I think Zelensky has played it wonderfully and possibly fooled many. His knowledge of the media and framing the message will be copied by many.

Scott Morrison calls him a ‘Lion of Democracy’ while Nancy Pelosi embarrassingly fawned.

There is a big reading and digging to do, to even partly understand some background. After all, he and his mates have been named in the Panama papers.

This is not a slight on Ukrainians. It’s a prompt to not be so naive that these leaders aren’t pocketing stuff for themselves.

(see Mubarak, Gaddafi, Musharaff, Hussein, Karzai and perhaps Netanyahu)

If he can stall peace negotiations a little longer, he’ll be able to make a few more video calls to global parliaments asking for a little more cash.

The real test of “if he cares for the country and his countrymen” will be if he can manage to have the $129 billion of foreign debt foregone.

With a debt representing 80% of GDP, this is a notable balance sheet item to consider. Invariably, that ratio will look worse as too will the GDP.

Beyond $14 billion of repayments being due in 2022, the whole debt is probably costing Ukraine $5 billion in interest, per annum.

Could that be a better strategy or use of funds?

Time will tell.

Incidentally, Australia sent $3 million of aid to Tonga in January 2022 while pledging $120 million to Ukraine.

April 1, 2022

by Rob Zdravevski

rob@karriasset.com.au

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: