Analysts from Britain and Germany are calling on NATO to create its own bank to protect funds for aid to Ukraine in the event of the victory of Republican Donald Trump in the US presidential elections.
Points of attention
- NATO is advised to create a financial institution to protect aid to Ukraine in the wake of a possible Trump victory in the US elections.
- The proposed NATO bank could optimize arms purchases, secure favorable credit terms, and enhance Europe's resilience against potential threats.
- Analysts highlight the importance of planning and preparing for potential consequences of Trump's policies on defense spending and aid to Ukraine.
- The call for a NATO bank aims to counteract potential negative actions by Trump, such as reducing US defense costs for EU countries and jeopardizing assistance to Ukraine in its conflict with Russia.
- European leaders are urged to take proactive steps to strengthen defense capabilities and security amidst uncertainties surrounding a second Trump term.
NATO is called to protect aid to Ukraine in the event of Trump's victory in the US elections
In the recommendation of German and British analysts, it is noted that EU countries should realize the likely consequences of Donald Trump's victory in the US elections.
According to the authors of the report, Trump can drastically reduce the costs of the US for the defense of EU countries, as well as force Ukraine to cede territories to the aggressor country Russia.
It is noted that such alleged actions by Trump could threaten the exchange of intelligence between allies and call into question the use of Article 5 of NATO on collective defense.
According to one of the report's co-authors, Sam Goodman, Trump's first term as president was characterized by the termination of important international agreements, the introduction of tariffs on allies and the support of authoritarian regimes.
European leaders should take practical steps now to strengthen defense capabilities, security and resilience against the potential threat of a second Trump term, Goodman emphasizes.
The report was prepared by the New Diplomacy project with the participation of Sir David Manning, former British ambassador to the US, and the Friedrich Ebert Foundation, which is affiliated with the Social Democratic Party of Germany, led by Chancellor Olaf Scholz.
What analysts suggest
It is noted that in order to counteract the likely negative actions of Trump in the event of victory in the elections in the USA, analysts call for the creation of a multilateral financial institution — an analogue of a bank under the control of NATO.
This would help partner countries to reduce costs when purchasing weapons, offer favorable credit terms and longer repayment terms.
Financing of the bank is planned at the expense of the initial contributions of NATO members, who will receive a share in the authorized capital of the institution.
