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---------- Forwarded message ----------
Date: Mon, 27 Sep 2004 09:27:42 -0400
From: statelists@STATE.GOV
Subject: U.S. Assistance to Ukraine  Fiscal Year 2004

   Fact Sheet
   Bureau of European and Eurasian Affairs
   Washington, DC
   September 13, 2004

   U.S. Assistance to Ukraine   Fiscal Year 2004

   U.S. assistance programs in Ukraine in FY04 emphasize democratic reform,
   especially in preparation for the presidential elections in October 2004. In
   addition, the U.S. supports Ukraine's integration into the Euro-Atlantic
   community, which will help lead to a market economy characterized by a growing
   middle class, a civilian-controlled military, internationally accepted law
   enforcement practices, and a vibrant civil society.

   The estimated $143.47 million budgeted by all U.S. Government agencies for
   assistance programs in Ukraine in fiscal year (FY) 2004 is allocated roughly as
   follows based on information available as of the date of this fact sheet:

   | Democracy Programs               | $34.11 million     |
   | Economic & Social Reform         | $42.38 million     |
   | Security & Law Enforcement       | $61.98 million     |
   | Humanitarian Assistance          | $1.33 million      |
   | Cross Sectoral Initiatives       | $3.67 million      |

   Democracy programs in Ukraine support electoral and local government reform,
   independent media, civil society, political party and parliamentary
   development, and the rule of law. Local government reform programs train
   administrators, lobbyists, and municipal professionals on strategic planning,
   management of services, and citizen participation. Assistance for independent
   media provides business, financial management, and marketing training for print
   and broadcast outlets. Civil society programs help strengthen NGOs and think
   tanks and develop community-level anti-corruption coalitions.

   Additionally, political party and parliamentary development programs help
   generate responsiveness and accountability, increase the participation of youth
   and women in public affairs, and improve governance. Rule of law programs
   support advocacy centers and student legal clinics, improve legal education,
   and strengthen judicial associations.

   Training and exchange programs give the next generation of Ukrainian leaders
   first-hand experience with the day-to-day functioning of a market-based,
   democratic system. Last year, the U.S. Government sent approximately 1,500
   Ukrainian citizens to the United States on academic and professional exchange
   programs. Since 1993, the U.S. has funded the travel of over 19,500 Ukrainian
   citizens to the United States on these programs in fields such as management,
   social service provision, and NGO development.

   Market reform programs include accounting, commercial law, customs
   modernization, fiscal, banking, and land reform assistance, with a focus on
   land titling. To help small and medium enterprises, the U.S. Government,
   through the U.S. Agency for International Development (USAID), provides
   training, assistance, and consulting to promote private sector business
   development. The assistance program supports the European Bank for
   Reconstruction and Development (EBRD) partner banks and microfinance
   institutions as well as training for small and medium-sized business

   The U.S. provides technical assistance to the Ministry of Finance and the Tax
   Administration to help reform tax policy and administration. However, this
   assistance is being phased out, since the Government of Ukraine has adopted a
   new, simplified tax code.

   Security and law enforcement assistance to Ukraine in FY04 will amount to
   nearly $62 million. Self-declared and nuclear-free in 1996, Ukraine receives
   U.S. assistance to combat the weapons of mass destruction (WMD) infrastructure,
   increase safeguards for the nuclear-reliant energy sector, improve security for
   radiological and nuclear materials, and redirect former weapons expertise
   toward peaceful and sustainable research activities. The U.S. will contribute
   an additional $8 million towards its $146-million pledge for the stabilization
   and reconstruction of the Chornobyl Shelter, continuing to be the largest
   single donor.

   Export Control and Related Border Security assistance will work to establish an
   effective security system to prevent the proliferation of WMD and their missile
   delivery systems. In addition, the U.S. continues to promote regional stability
   by helping Ukraine enhance its interoperability with NATO forces through the
   International Military Education and Training and Foreign Military Financing
   programs. Currently, Ukraine is the fourth largest non-NATO contributor of
   troops to Operation Iraqi Freedom (OIF)

   Over $2 million in U.S. assistance under the Anti-Crime Training and Technical
   Assistance (ACTTA) program of the Bureau for International Narcotics and Law
   Enforcement Affairs will fund projects to help combat money laundering,
   trafficking in persons, and smuggling of narcotics. The ACTTA program also
   funds projects to improve the protection of intellectual property rights and
   support developments in border security systems that help prevent criminal
   activity. Programs also seek to engage with the Ukrainian government in support
   of basic legal reforms and the introduction of internationally accepted
   procedures for conducting investigations.

   Current humanitarian programs in Ukraine consist of the shipment, delivery,
   distribution, and monitoring of humanitarian commodities through the State
   Department Humanitarian Transport Program. The total value of the U.S.
   humanitarian commodities provided to Ukraine in FY 2004 is estimated to be in
   excess of $15 million. The U.S. funds a humanitarian program in Crimea to
   assist formerly displaced persons, mainly Crimean Tatars, and a medical
   humanitarian program in the Donetsk Region to assist the ethnic Greek
   population. Additionally, the modern medical clinic in the Donetsk Region
   provides medicines, medical equipment, and supplies for treatment of the
   vulnerable population.

   USAID addresses the social and health needs of vulnerable groups such as the
   elderly, women, children, orphans, and others most susceptible to social and
   economic risks. Recently, USAID launched a new HIV/AIDS five-year strategy that
   seeks to combat the growing threat of HIV/AIDS. Peace Corps Ukraine focuses on
   economic development, education, and environmental protection.


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