Ariel Cohen, an expert on Russian and Eurasian affairs at the Heritage Foundation in Washington, said the $1 billion the U.S. is providing in loan guarantees, coupled with the IMF and EU pledges, is a start to help Ukraine.
"But it doesn't resolve the problem, which is that Ukraine does not generate enough growth and income to plug the budgetary holes created by energy dependence on Russia," Cohen said.
On Tuesday, Moscow sharply hiked the price for natural gas to Ukraine and threatened to reclaim billions in previous discounts, raising the heat on its cash-strapped government.
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