Today's Contents
Just The Facts:
- Zelensky says he would agree to direct talks with Putin
- Ukraine's government is open to Trump's rare earth minerals proposal, Zelensky says
- Ferrexpo's Ukrainian unit hit by $3.76 billion civil claim for damages
- iStories alleges Yanukovych Jr profits from selling coal from occupied Ukrainian territory
- Sweden expands export credit guarantees program for businesses to support Ukraine's reconstruction
- Latvia approves €5.7 million to support Ukraine's reconstruction
- IAEA chief warns of potential nuclear disaster from Russian attacks on Ukrainian energy infrastructure
Here's What They Think:
- Kyiv Independent: Ukraine must accelerate defense tech innovations to counter Russian aggression
- Bloomberg's Marc Champion: Europe should accept Trump's approach to Ukraine aid
Sober Second Thought:
- Low pay and political influence hinder young talent in Ukraine's public sector, study finds
Zelensky says he would agree to direct talks with Putin
Ukrainian President Volodymyr Zelensky said on Tuesday he would agree to sit at the negotiating table with Russian President Vladimir Putin in order to end the war in Ukraine.
"If that is the only set-up in which we can bring peace to the citizens of Ukraine and not lose people, definitely we will go for this set-up," Zelensky stated.
"I will not be kind to him, I consider him an enemy. To be honest, I think he considers me an enemy, too," Zelensky said in an interview with British journalist Piers Morgan, noting that the US, the European Union, Ukraine, and Russia should be at the negotiating table.
"We will be speaking with Putin. Don't we make too many compromises? Even the conversation with Putin is already a compromise," Zelensky said. "Nobody knows how this conversation will start and how it will end. Nobody knows, but we believe that President Trump wants to succeed in this situation."
In an interview with The Associated Press on Saturday, Zelensky stated that it would be "very dangerous" to leave his country out of talks between the US and Russia regarding the war in Ukraine, urging more discussions with Washington to formulate a ceasefire plan.
Zelensky's comments in the AP interview came a day after US President Donald Trump said that US and Russian officials were "already talking" about ending the war. Trump also said that his administration had held "very serious" discussions with Russia, without providing further details.
Zelensky says he's open to Trump's rare earth minerals proposal
Ukraine is open to "investment" from its allies, provided they support its fight against Russia, President Volodymyr Zelensky told reporters on Tuesday, commenting on US President Donald Trump's statement that he wanted Ukraine to supply the US with rare earth minerals as compensation for financial support in the war.
Zelensky said Ukraine was open to "investment" from "partners who help us defend our land and push the enemy back with their weapons, their presence, and sanctions packages. And this is absolutely fair."
Zelensky also said he had previously discussed the issue with Trump and that his teams were organizing a visit from a US delegation, as quoted by The Guardian.
On Monday, Trump said he wanted to see some "equalization" from Ukraine for Washington's "close to $300 billion" in support. "We're telling Ukraine they have very valuable rare earths. We want what we put up to go into the terms of a guarantee. We want a guarantee," Trump stated.
Commenting on Trump's proposal, Kremlin spokesperson Dmitry Peskov said: "If we call things as they are, this is a proposal to buy help — in other words, not to give it unconditionally, or for some other reasons, but specifically to provide it on a commercial basis," as quoted by Russian news agency TASS.
"It would be better of course for the assistance to not be provided at all, as that would contribute to the end of this conflict," Peskov added.
Elsewhere in Europe, German Chancellor Olaf Scholz criticized Trump's idea, calling it "very egotistic, very self-centered," Spiegel reported.
Scholz argued Ukraine should use its natural resources to fund post-war reconstruction rather than as leverage for security assistance. "That's why I think it would be better if Ukraine's resources were used for a good future," he said.
Ferrexpo's Ukrainian unit hit by $3.76 billion civil claim for damages
London-listed miner Ferrexpo announced on Tuesday that a civil claim totaling $3.76 billion had been filed against its Ukrainian subsidiary, Ferrexpo Poltava Mining (FPM), over alleged illegal mining activities and the sale of waste products.
"Initial accusations on the illegal sale of waste products have transformed into accusations that FPM is illegally mining and selling subsoil (minerals other than iron ore), which is said to have caused damage to the environment," the company said.
FPM rejects the allegations "on the basis that there was no illegal extraction of the subsoil," Ferrexpo said in a regulatory filing.
Ferrexpo said that FPM mines and extracts iron ore which is then processed to produce iron ore pellets.
"As a result of these processes, any waste that is leftover is stockpiled in accordance with best mining practices and in compliance with environmental standards," Ferrexpo stated.
Ferrexpo shares dropped as much as 51% following the disclosure, Bloomberg reported.
Ferrexpo's Poltava mine is the company's largest mine. Located in Ukraine's Komsomolsk, a purpose-built mining city in central Ukraine, it has been in operation for over 50 years and has over 1 billion tonnes of JORC-compliant Ore Reserves - enough for a further 50 years of operations at today's mining rates.
iStories alleges Yanukovych Jr profits from selling coal from occupied Ukrainian territory
Oleksandr Yanukovych, the son of former Ukrainian President Viktor Yanukovych, is allegedly behind the largest exporter of coal from Ukraine's occupied territories, according to Important Stories, or iStories, an independent Russian investigative journalism site.
Yanukovych Jr is reportedly linked to Energoresurs, a company registered in a modest office in Rostov-on-Don, Russia. Over the past two years, the company has exported nearly half a million tons of coal, primarily to Turkey.
The coal is initially sold at significantly reduced prices to an offshore entity, Energy Union, registered in the British Virgin Islands. This setup allows for minimized export duties and facilitates subsequent sales at full market value, ensuring substantial profits remain within companies connected to Yanukovych, the news site wrote.
Export records show that between 2021 and 2023, Energoresurs generated approximately RUB 3.5 billion (USD 35.4 million) in revenue, iStories said. Following EU sanctions on Russian coal in 2022, nearly all shipments from the company have been redirected to Turkey, bypassing European restrictions.
Energoresurs is formally owned by Alexei Ivanov, a figure with long-standing ties to Yanukovych's business empire, iStories reported.
The company has received multimillion-dollar loans from offshore firms historically connected to Yanukovych, further confirming his continued influence in the coal trade, according to the investigation. Additionally, Energoresurs' director, Pavel Zemlyakov, has associations with entities previously controlled by Yanukovych’s inner circle.
Before the war, Donetsk and Luhansk accounted for 75% of Ukraine’s coal production, and Yanukovych Jr. played a major role in exports through his Swiss-based company, Mako Trading. After fleeing Ukraine in 2014, he relocated to Russia, where his businesses were restructured under new ownership, allowing him to continue operating despite international sanctions.
Sweden expands export credit guarantees program for businesses to support Ukraine's reconstruction
The Swedish government said it has revised the terms and broadened the scope of the special export credit guarantees program for doing business with Ukraine to boost exports to the war-torn country and support its sustainable reconstruction.
The government has expanded the existing SEK 333 million ($30.4 million) framework by SEK 555 million. In total, guarantees can be offered to a maximum of SEK 888 million.
In addition, it should now be possible to provide guarantees with longer durations, greater coverage, and the inclusion of services, the government said in a press release on Monday. The changes became effective on Feb. 1.
"Swedish businesses both want and are able to contribute more to Ukraine's reconstruction, but they need support that mitigates the risk. The aim of amending the conditions is to make it easier and safer for Swedish companies to export to Ukraine," said Minister for International Development Cooperation and Foreign Trade Benjamin Dousa.
The regulation on special export credit guarantees for Ukraine came into effect on April 1, 2024, allowing exporting companies to apply for the guarantees through the Swedish Export Credit Agency for activities that support Ukraine's economic, social development, and welfare.
The maximum guarantee maturity has now been extended from three to four years, while coverage has been increased from 80% to up to 95%. Additionally, the amount businesses within the same group can receive has been raised from SEK 100 million to SEK 300 million.
Latvia approves €5.7 million to support Ukraine's reconstruction
Latvia's government has approved €5.7 million in funding for Ukraine's reconstruction efforts and the execution of development cooperation projects.
Of the total, €2.7 million will be directed towards restoring social infrastructure facilities in Ukraine's northern Chernihiv region and €1.5 million for a grant project competition for infrastructure reconstruction in Chernihiv.
Latvia will also provide €100,000 to organize construction works, €400,000 to establish resilience centers in Chernihiv, and €200,000 to provide Ukraine with technologies developed by Latvia'a custom machine translation systems developer SIA Tilde, the country's foreign ministry said in a press release on Tuesday.
In addition, Latvia will allocate €700,000 to organize a development cooperation grant competition to transfer Latvian expertise, particularly on EU integration, in support of Ukraine, and €100,000 to promote Ukraine's integration into the EU in the field of digitalization.
Under the agreement between Latvia and Ukraine on long-term support and security commitments, signed in April, 2024, Latvia has earmarked €15 million for reconstruction projects in Ukraine.
Since the start of the Russian full-scale invasion in February 2022 until the end of 2024, Latvia's total support for Ukraine amounts to at least €859 million, the ministry said. This includes €540 million in military aid, €82 million for humanitarian assistance and direct support to the Ukrainian government, €225 million to assist Ukrainian civilians in Latvia, and €12 million for reform, development, and reconstruction efforts.
IAEA chief warns of potential nuclear disaster from Russian attacks on Ukrainian energy infrastructure
International Atomic Energy Agency (IAEA) Chief Rafael Grossi warned that Russian attacks on Ukraine's power grid could result in a nuclear accident.
Grossi made the statement during a visit to Kyiv to meet with Ukrainian officials regarding nuclear safety. He added that such an accident could result from a direct attack or power supply disruptions.
"I'm at Kyivska electrical substation—an important part of Ukraine's power grid essential for nuclear safety," Grossi wrote on X. "A nuclear accident can result from a direct attack on a plant, but also from power supply disruption."
Grossi also met with Ukrainian President Volodymyr Zelensky during his visit. Both parties agreed to cooperate to enhance IAEA's missions' operations at Ukrainian power plants and other key energy key infrastructure sites, the Office of the President of Ukraine said in a press release.
Zelensky also thanked Grossi for supporting Ukraine's strategy to complete the construction of nuclear units at the Khmelnytskyi Nuclear Power Plant, stating: "The completion project is key to Ukraine’s energy independence and regional energy stability. It is crucial that Ukrainian MPs support this project."
In November, a group of UN experts called on Russia to halt attacks on Ukrainian infrastructure, citing risks of nuclear disaster. They said that the Kremlin's attacks "led to further significant damage to electric substations that are essential to the operation of Ukraine’s nuclear power plants."
Kyiv Independent: Ukraine must accelerate defense tech innovations to counter Russian aggression
Despite uncertainty over how the war will end, Ukraine must rapidly strengthen its defense capabilities through technological innovation to counter Russia’s advantages, according to an op-ed published by the Kyiv Independent.
The piece highlights Ukraine’s advancements in drone warfare, AI-driven military applications, unmanned ground vehicles, domestic missile production, and electronic warfare, positioning the country as a leading hub for defense technology innovation.
Bloomberg's Marc Champion: Europe should accept Trump's approach to Ukraine aid
US President Donald Trump’s demand that Ukraine provide resources in exchange for continued U.S. aid may be controversial, but Europe should accept it rather than risk a scramble for Ukraine’s assets after the war, Bloomberg columnist Marc Champion wrote in an op-ed.
Marc argued that while Trump was wrong to claim the US has given more support than Europe, Europe must take greater responsibility for Ukraine’s defense instead of relying on US military backing.
Low pay and political influence hinder young talent in Ukraine's public sector, study finds
Ukraine's public service faces serious challenges in attracting and retaining young professionals, particularly those with Western education and international experience, according to a study by the Professional Government Association (PGA).
Nearly 65% of respondents are open to working in public service, mainly due to a sense of duty, the chance to influence national development, or professional growth, according to the study by the NGO, which promotes professionalism in government. However, major deterrents include low salaries, corruption, excessive bureaucracy, and perceived political influence over public institutions.
Regarding the hiring process, only 16% of respondents rated the current competition procedures as highly effective, with concerns about transparency and fairness. Although 80% of respondents supported aptitude tests, and 78% endorsed integrity assessments, many highlighted the need for clearer evaluation criteria and improved communication during recruitment.
Job satisfaction among public sector employees varied. While the average satisfaction level was 6.5 out of 10, nearly 25% of respondents reported low satisfaction (scores between 1 and 4).
The study, supported by the European Union project "Continuation of Support to Comprehensive Public Administration Reform in Ukraine" (EU4PAR), employed a mixed-methods approach. Researchers conducted an online survey with 203 participants and held four focus groups between July and August 2024.
The focus was on three key stages: interest in public service, participation in the hiring process, and decisions to remain in or leave government positions.
Survey respondents were primarily members of the PGA and professionals with Western education, including young graduates and mid-career professionals. Participants included both individuals residing in Ukraine and those living abroad, with the latter group providing insight into potential return strategies for skilled workers.
Key reasons for dissatisfaction included low salaries, limited career development opportunities, and concerns about leadership and organizational culture. Some 37% of respondents expressed a high likelihood they would leave their positions within six months.
The study’s recommendations emphasize competitive remuneration, streamlined hiring procedures, and enhanced transparency. Proposals include restoring fair competition for vacancies, introducing market-based salary structures, and creating short-term internship programs for students.
Digitalization and flexible employment models, such as remote work and consultancy contracts, were also suggested to attract skilled professionals. To retain talent, researchers advocate for improved professional development opportunities, strengthened institutional capacity, and the reduction of political influence in public administration.
As Ukraine continues its post-war recovery and European integration efforts, the study underscores the urgency of public administration reforms. Addressing these challenges could help ensure a stable and capable workforce to drive the country’s modernization and governance objectives.
AI in Government
Valeriya Ionan, Ukraine's deputy minister for Eurointegration at the Ministry of Digital Transformation, took to LinkedIn to announce the opening of an AI center, called the WINWIN AI Center of Excellence, to help integrate AI into government, defense, education and business.
The center's objectives for the first year include integrating AI into Diia, the unified access point to digital government services, as well as to launch at least three AI products and establish a mechanism for developing AI solutions.
Finnish Business
The Confederation of Builders of Ukraine recapped a meeting between CEO Oleksandr Chervak and local experts in reinforced concrete construction with representatives of Finnish businesses, with the support of Business Finland.
Discussions with companies including Best Hall, Arkkitehtipalvelu, Betolar, Elematic, Finninno, MT Partners Oy, and Tecwill Oy focused on "technologies for automated mobile precast concrete plants tailored to the needs of construction companies, with due consideration for Ukrainian standards."
Banks Want SAF-T Review
The European Business Association, whose members include many of the continent's businesses in Ukraine, joined the American Chamber of Commerce in Ukraine and other business associations in calling for a review of the implementation of the SAF-T UA an electronic format for providing detailed tax audit information.
The associations said the format is causing trouble for the banking sector "due to the specifics of financial data" and the specific tax reporting requirements of banks. They said the lack of clear guidance on the issue could lead to "legal uncertainty and risks of breaching banking confidentiality."
Renewable Grid Connections Law
Dentons, the global law firm, promoted an article by partner Maksym Sysoiev covering a "revolutionary" new law passed last month that it says will "significantly improve the grid connection of renewables in Ukraine.
The article discusses changes under the law, including extension of grid connection agreements, new rules for grid connection payment, cable pooling rules, grid capacity booking for wind projects, and more.
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