BlackRock Halts Ukraine Recovery Fund Amid US Political Uncertainty

BlackRock, a major U.S. investment firm managing approximately $11.6 trillion in assets, has discontinued its efforts to secure investors for a multibillion-dollar Ukraine recovery fund due to diminished interest following President Donald Trump's election victory. The fund, initially targeting over $15 billion—including $500 million from governments and development grants and $2 billion from private investors—had near support from Germany, Italy, and Poland but faltered primarily because the U.S. government did not back the initiative under the Trump administration. BlackRock ceased negotiations in early 2024, citing political uncertainty and a lack of formal U.S. support, which has affected the investment climate surrounding Ukraine's reconstruction amid ongoing conflict. The fund was expected to be unveiled at the Ukraine Recovery Conference in Rome in July 2025, with planned participation from President Volodymyr Zelensky and Italian Prime Minister Giorgia Meloni, but the presentation has been delayed or remains uncertain. In response, France is developing an alternative recovery fund proposal, though its effectiveness is unclear without Washington's involvement. BlackRock confirmed it completed its pro bono advisory role and presently holds no active mandate with Ukraine regarding the recovery fund.