Financial guru, hedge fund owner and political analyst George Soros has been speaking out about the many crises facing the leadership of the European Union, most notably the situation in the Ukraine. Soros has long been involved with the Ukraine and he also heads a foundation dedicated to the Ukraine. It is his feeling, laid out in a recent article in NY Books, that the EU leadership needs to put its focus on creating a rescue package for the country in order to help it stabilize and avoid a debt crisis similar to the one in Greece.
Right now the Ukraine is in a new era, as the country seeks greater freedom and economic stability, inspired by the Maidan revolution of 2014. Soros feels strongly that this “new” Ukraine must be fully supported, in order to stabilize further. A spiral back into instability could be very detrimental to the EU as a whole.
The rescue package that George Soros Ukraine recommends would include substantial financial support, and would include political risk insurance at an affordable price. The package would also include incentives for investors. Soros points out that a more stable and more viable Ukraine will definitely be more attractive to investors, which will bring even more stability to the region.
The gas monopoly in the Ukraine is state run, however, and Soros suggests that this situation should be dismantled, with prices rising to market levels. Some support could be built in for those who are unable to pay higher gas prices.
There’s no doubt that right now the EU leadership has many crises to deal with already, including the ongoing migration situation, as well as the state of the euro and whether or not Britain will be willing to stay in the EU. Still, the Ukraine situation is at a crossroads right now, and it is Soros’ view that the EU must step in sooner rather than later. Ultimately, the EU cannot afford to have another country fall into the chaos of deep debt, and the cost of helping the Ukraine will pay off hugely if the region becomes more stable.