Ukraine and the World – Against russia’s Aggression. Sanctions in Action

Ukraine has received another billion euros from the European Union at the expense of russian frozen assets.

President of the European Commission Ursula von der Leyen has announced the creation of a European Flagship Fund for the Reconstruction of Ukraine jointly with the EU, Italy, Germany, France and Poland.

The President of the European Commission has also announced the continuation of support for Ukraine and the provision of further tranches of aid. “As part of this support, I am announcing [the EU has transferred to Ukraine] one billion in macro-financial support. I am also announcing the disbursement of EUR 3 billion under the Ukraine Facility program. And these loan grants will mobilize 10 billion in the form of investments,” she said.

The United Kingdom and Ukraine are concluding a historic deal to supply missiles for air defense systems from Thales. The UK Government also confirms up to £283 million in aid to Ukraine over the next year, including up to £10.5 million for a public administration reform program and up to one million – to support Ukraine’s Green Transition Office.

US President Donald Trump’s Special Envoy Keith Kellogg has said that international partners should help Ukraine recover by introducing their own Marshall Plan.

“Today, moscow is once again claiming the right to decide where Europe ends. But this time, these claims will not work. Ukraine has chosen its path, and we have supported its choice. The modern Marshall Plan should reflect this choice. Not only as an instrument of recovery, but also as a political commitment to future of Ukraine as part of Europe,” said President of the Czech Republic Petr Pavel.

The Czech Republic will have trained eight Ukrainian F-16 pilots by the end of 2026.

The European Commission has announced a new EUR 2.3 billion package to support Ukraine’s recovery and reconstruction efforts. In particular, the funds will be spent in the following areas: EUR 500 million in guarantees and grants – to support small and medium-sized businesses; EUR 600 million – for large-scale private sector projects; EUR 520 million – for municipal infrastructure in war-affected areas; EUR 265 million – to stabilize Ukraine’s energy grid; and EUR 310 million – for the repair and rebuilding of critical infrastructure.

“I would like to focus on four pillars that must shape Ukraine’s path forward: peace, defence, reconstruction and accession to the European Union,” said President of the European Council António Costa.

The Netherlands has announced allocation of EUR 300 million for recovery and strengthening of Ukraine in 2025- 2026.

Prime Minister of Italy Giorgia Meloni has assured that her country will expand its support for Ukraine in various spheres – from energy to transportation and defense.

“russia is intensifying its actions against the civilian population, striking at the infrastructure that is vital for the population, because this has been its goal since the beginning of the war. They are trying to bring darkness, hunger, fear. And this plan has failed, just like the others,” Meloni also said.

“As the NATO summit declaration stated, Ukrainian security is identical to European security, against those who would return to a concept of predominance in relations between states, making us leap back almost a century,” said President of Italy Sergio Mattarella.

At the International Conference on Ukraine’s Recovery, Prime Minister of Poland Donald Tusk said that his country had developed the first model of support for Ukraine, invested in roads, logistics and railways, and 90 % of partner aid passes through Polish transport corridors.

Chancellor of the FRG Friedrich Merz considers Ukraine’s European integration an important condition for its recovery.

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Leader of the Republican majority in the US Senate John Thune hopes that a bill to impose sanctions on the rf and those who help it will be passed by August.

Inflation in russia amounted to 0.79% from July 1 to July 7. This is the highest weekly increase in the consumer price index since the spring of 2022, when prices were rising rapidly due to fears of an economic crisis and the collapse of the ruble. During the acceleration of inflation at the end of last year and the beginning of this year, prices added no more than 0.5 % per week. The reason for the jump in inflation is the increase in utility tariffs. A year ago, from June 25 to July 1, prices rose by 0.66 %. The government planned that tariffs would rise by an average of 11.9 %, but regions could raise them more, and many did. On average, tariffs for certain types of utilities in the rf increased as follows: cold water supply – by 14.9 %, sewage – by 14.6 %, hot water supply and heating – by 13.8 %, liquefied gas – by 13.5 %, electricity – by 13 %.

In May, overdue loans in the rf increased by 63.5 billion rubles and for the first time exceeded one and a half trillion rubles as of June 1. Since the beginning of the year, arrears have increased by almost 20 %.

russian wheat exports may decline to 2 million tons in July.

In the first half of the year, due to inflation, prices for cultural events in russia increased by more than 30 %.

Railway transportation of containers in the rf decreased by 3 % in the first half of the year, and by more than 5 % in the loaded segment. Taking into account transshipment, which saw a significant decline in the Far East, the decline is even deeper – to 7 %.

The rf’s market of road construction equipment continues to decline: sales decreased by 41.3 % year-on-year between January and May.

The nationalization of one of the largest gold mining companies in the rf, Yuzhuralzoloto Gruppa Kompaniy” (UGK), may affect russians who have invested in the shares. There are more than 220 thousand of them: in November 2023, UGK held an IPO, and at the end of last year, 10.2 % of its shares were in free float, including 5.8 % owned by individuals.

Last year, “RusHydro”, which owns 60 hydroelectric power plants and dozens of thermal power plants in 31 regions of russia, had a net loss of 61.2 billion rubles and reported a sharp increase in debt from 355 billion to 567 billion rubles. The company had to pay 64.7 billion rubles, or every tenth ruble of revenue, to pay interest on its loans, which is 2.5 times more than a year earlier.

The canned food producer “Glavprodukt”’s sales plummeted after putin placed the company under temporary management of “rosimushchestvo”. While the company had shown moderate profits before the actual nationalization, it has been recording a net loss in recent months.

The joint venture established by India and russia to localize the production of at least 200 Ka-226T multipurpose helicopters has been effectively frozen. The reason is sanctions imposed on the rf in response to the war in Ukraine. The sanctions have disrupted the supply of components, and the helicopter production chain is too dependent on European suppliers. In its current form, production of the Ka-226T is not viable. The intergovernmental agreement to establish the joint venture was signed in 2016. The total cost of the project was estimated at $1 billion.

russian authorities are preparing to expand the practice of forced labor for those convicted of minor crimes amid a growing labor shortage in the economy, which the government estimates at two million people. The state duma has adopted a package of amendments to the Criminal Code that introduces forced labor as an independent form of punishment under 45 articles of the Criminal Code. The courts will be able to send to correctional centers for up to 5 years those convicted of “intentionally causing medium-severity harm to health”, “involving a minor in committing anti-social acts”, “illegal entry into a protected facility,” and “violation of the rules of drug trafficking” in a significant, large, or special way. Compulsory labor will also be imposed for six types of economic crimes.

In case of a job loss, 38 % of employed russians have no financial cushion. Of those who have savings, 13 % will be able to live on them for less than a month, 24 % – for one to two months.

Shortage of personnel and low qualifications are among the most acute problems in the russian construction industry. At this, about half of the workers are dissatisfied with their salaries and working conditions. Only 26 % of construction workers are happy with their salary, 49 % said that the salary is “satisfactory”, and 19 % said that they do not have enough money.

russia has created and patented a wastewater treatment plant for agricultural enterprises, which makes it possible to obtain drinking water from the manure that accumulates in them.

russia is experiencing a deep demographic decline. In 2024, the number of newborns amounted to 1.222 million – the lowest figure since 1999. In January 2025, the total fertility rate in the rf, i.e. the average number of children born by one woman, decreased to 1.399. This is the lowest rate in the last 18 years.

Archpriest Tkachev of the Russian Orthodox Church explained the demographic crisis in russia by “cowardly, depraved women unwilling to give birth”.

russia will open separate rehabilitation centers for drug addicted war veterans. About 20 % of those who returned from the war suffer from posttraumatic stress disorder, which often leads to addiction. Some soldiers start using illegal substances right in the combat zone to cope with stress and “avoid the changed reality”.

The European Union’s delegation to the Council of Europe has called for the “immediate and unconditional” release of political prisoners in belarus, their rehabilitation and an end to repression. The statement, issued on behalf of all EU states, was joined by 12 countries: Albania, Andorra, the United Kingdom, Iceland, Liechtenstein, Moldova, Monaco, Norway, San Marino, North Macedonia, Ukraine and Montenegro.

European Commissioner Kos: Progress in belarus will be measured not only by pardons, but also by the complete dismantling of the system of repression.

The Ministry of Internal Affairs and Administration of Poland has included belarusian businessman Moshensky in the national sanctions list. The justification for the decision states that Moshensky is “a person directly connected personally, organizationally, economically and politically with lukashenko, as well as a person who indirectly supports the rf’s aggression against Ukraine.” Moshensky is known mainly in the dairy (“Savushkin Produkt”) and fish processing (“Santa Bremor”) businesses. He ranks second in the top 100 belarusian businessmen.

Poland also refused to remove footballer Aleksandr Hleb from the blacklist. In the past, the “Arsenal” and “Barcelona” midfielder was sanctioned for supporting lukashenko.

The Supreme Court of the rb has recognized the United Transitional Cabinet (UTC) and its structural units as a “terrorist organization”. Its activities on the territory of belarus are prohibited. The UTC called the recognition of the Cabinet as a “terrorist organization by the regime that has been terrorizing its citizens for 5 years “strange”.

The belarusian government has proposed to introduce liability for propaganda of LGBT, childfree and change of sex. The fine could reach $3,000.

belarusians were asked to name the country’s achievements and failures over the past five and 30 years. Over 60 % of respondents could not name either achievements or failures.

Since the evening of July 9, more than 20 russian drones have flown into Gomel region. Only 5 returned to Ukraine.

belarusian schoolchildren from grades 5 to 8 will soon learn what life was like in the USSR, as they will be introduced to a compulsory summer practice. For 5 days, schoolchildren will have 3 hours of practical training if the school has educational and research plots. That is, a school garden or a vegetable garden. In other cases, schoolchildren will work on the basis of agricultural enterprises. “I think it will be difficult for modern parents to force their children to do something. Especially to use unpaid child labor in agricultural organizations,” say parents of schoolchildren.