US Running Out of Money for Ukraine, Could Hinder Fight against Russia, White House Warns

 Ukrainian servicemen of the 43rd Mechanized Brigade take part in a military training in an undisclosed location in the Kharkiv region on December 1, 2023, amid the Russian invasion of Ukraine. (AFP)
Ukrainian servicemen of the 43rd Mechanized Brigade take part in a military training in an undisclosed location in the Kharkiv region on December 1, 2023, amid the Russian invasion of Ukraine. (AFP)
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US Running Out of Money for Ukraine, Could Hinder Fight against Russia, White House Warns

 Ukrainian servicemen of the 43rd Mechanized Brigade take part in a military training in an undisclosed location in the Kharkiv region on December 1, 2023, amid the Russian invasion of Ukraine. (AFP)
Ukrainian servicemen of the 43rd Mechanized Brigade take part in a military training in an undisclosed location in the Kharkiv region on December 1, 2023, amid the Russian invasion of Ukraine. (AFP)

The Biden administration on Monday sent Congress an urgent warning about the need to approve tens of billions of dollars in military and economic assistance to Ukraine, saying Kyiv's war effort to defend itself from Russia's invasion may grind to a halt without it.

In a letter to House and Senate leaders and released publicly, Office of Management and Budget Director Shalanda Young warned the US will run out of funding to send weapons and assistance to Ukraine by the end of the year, saying that would “kneecap” Ukraine on the battlefield.

She added that the US already has run out of money that it has used to prop up Ukraine's economy, and “if Ukraine’s economy collapses, they will not be able to keep fighting, full stop.”

“We are out of money — and nearly out of time,” she wrote.

President Joe Biden has sought a nearly $106 billion aid package for Ukraine, Israel and other needs, but it has faced a difficult reception on Capitol Hill, where there is growing skepticism about the magnitude of assistance for Ukraine and where even Republicans supportive of the funding are insisting on US-Mexico border policy changes to halt the flow of migrants as a condition for the assistance.

Meanwhile, the GOP-controlled House has passed a standalone assistance package for Israel, which is fighting a war with Hamas in Gaza, while the White House has maintained that all of the priorities must be met.

Congress already has allocated $111 billion to assist Ukraine, including $67 billion in military procurement funding, $27 billion for economic and civil assistance and $10 billion for humanitarian aid. Young wrote that all of it, other than about 3% of the military funding, had been depleted by mid-November.

The Biden administration has said it has slowed the pace of some military assistance to Kyiv in recent weeks to try to stretch supplies until Congress approves more funding.

“We are out of money to support Ukraine in this fight,” Young wrote. “This isn’t a next year problem. The time to help a democratic Ukraine fight against Russian aggression is right now. It is time for Congress to act.”

The letter followed a classified Capitol Hill briefing on Nov. 29 for the top House and Senate leaders on the need for the assistance. Defense and other national security officials briefed the “big four” congressional leaders as Congress is debating Biden’s nearly $106 billion funding package, which includes $61 billion for Ukraine but has become snared by Republican demands for US-Mexico border security changes.

“They were clear that Ukraine needs the aid soon — and so does our military need the aid soon,” Senate Majority Leader Chuck Schumer told The Associated Press in an interview.



US Vice President Vance Heads to Armenia, Azerbaijan to Push Peace, Trade

US Vice President JD Vance speaks during the Critical Minerals Ministerial at the State Department in Washington, DC, US, February 4, 2026. (Reuters)
US Vice President JD Vance speaks during the Critical Minerals Ministerial at the State Department in Washington, DC, US, February 4, 2026. (Reuters)
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US Vice President Vance Heads to Armenia, Azerbaijan to Push Peace, Trade

US Vice President JD Vance speaks during the Critical Minerals Ministerial at the State Department in Washington, DC, US, February 4, 2026. (Reuters)
US Vice President JD Vance speaks during the Critical Minerals Ministerial at the State Department in Washington, DC, US, February 4, 2026. (Reuters)

US Vice President JD Vance will visit Armenia and Azerbaijan this week to push a Washington-brokered peace agreement that could transform energy and trade routes in the strategic South Caucasus region.

His two-day trip to Armenia, which begins later on Monday, comes just six months after the Armenian and Azerbaijani leaders signed an agreement at the White House seen as the first step towards peace after nearly 40 years of war.

Vance, the first US vice president to visit Armenia, is seeking to advance the Trump Route for International Peace and Prosperity (TRIPP), a proposed 43-kilometre (27-mile) corridor that would run across southern Armenia and give Azerbaijan a direct route to its exclave ‌of Nakhchivan ‌and in turn to Türkiye, Baku's close ally.

"Vance's visit should ‌serve ⁠to reaffirm the ‌US's commitment to seeing the Trump Route through," said Joshua Kucera, a senior South Caucasus analyst at Crisis Group.

"In a region like the Caucasus, even a small amount of attention from the US can make a significant impact."

The Armenian government said on Monday that Vance would hold talks with Prime Minister Nikol Pashinyan and that both men would then make statements, without elaborating.

Vance will then visit Azerbaijan on Wednesday and Thursday, the White House has said.

Under the agreement signed last year, ⁠a private US firm, the TRIPP Development Company, has been granted exclusive rights to develop the proposed corridor, with Yerevan ‌retaining full sovereignty over its borders, customs, taxation and security.

The ‍route would better connect Asia to Europe ‍while - crucially for Washington - bypassing Russia and Iran at a time when Western countries are ‍keen on diversifying energy and trade routes away from Russia due to its war in Ukraine.

Russia has traditionally viewed the South Caucasus as part of its sphere of influence but has seen its clout there diminish as it is distracted by the war in Ukraine.

Securing US access to supplies of critical minerals is also likely to be a key focus of Vance's visit.

TRIPP could prove a key transit corridor for the vast mineral wealth of ⁠Central Asia - including uranium, copper, gold and rare earths - to Western markets.

CLOSED BORDERS, BITTER RIVALS

In Soviet times the South Caucasus was criss-crossed by railways and oil pipelines until a series of wars beginning in the 1980s disrupted energy routes and shuttered the border between Armenia and Türkiye, Azerbaijan's key regional ally.

Armenia and Azerbaijan were locked in bitter conflict for nearly four decades, primarily over the mountainous region of Nagorno-Karabakh, an internationally recognized part of Azerbaijan that broke away from Baku's control as the Soviet Union fell apart in 1991.

Azerbaijan and Armenia fought two wars over Karabakh before Baku finally took it back in 2023. Karabakh's entire ethnic Armenian population of around 100,000 people fled to Armenia. The two neighbors have made progress in recent months on normalizing relations, including restarting ‌some energy shipments.

But major hurdles remain to full and lasting peace, including a demand by Azerbaijan that Armenia change its constitution to remove what Baku says contains implicit claims on Azerbaijani territory.


Adviser to Iran's Supreme Leader to Visit Oman on Tuesday

FILED - 06 February 2009, Bavaria, Munich: Ali Larijani, then chairman of the Iranian parliament, speaks at the 45th Munich Security Conference in Munich. Photo: Andreas Gebert/dpa
FILED - 06 February 2009, Bavaria, Munich: Ali Larijani, then chairman of the Iranian parliament, speaks at the 45th Munich Security Conference in Munich. Photo: Andreas Gebert/dpa
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Adviser to Iran's Supreme Leader to Visit Oman on Tuesday

FILED - 06 February 2009, Bavaria, Munich: Ali Larijani, then chairman of the Iranian parliament, speaks at the 45th Munich Security Conference in Munich. Photo: Andreas Gebert/dpa
FILED - 06 February 2009, Bavaria, Munich: Ali Larijani, then chairman of the Iranian parliament, speaks at the 45th Munich Security Conference in Munich. Photo: Andreas Gebert/dpa

Ali Larijani, an adviser to Iran's Supreme Leader Ali Khamenei, will visit Oman accompanied by a delegation on Tuesday, the ‌semi-official Tasnim news ‌agency reported ‌on ⁠Monday.

American and ‌Iranian diplomats held indirect talks in Oman last week, aimed at reviving diplomacy amid a US ⁠naval buildup near Iran and ‌Tehran's vows ‍of a ‍harsh response if ‍attacked.

"During this trip, (Larijani) will meet with high-ranking officials of the Sultanate of Oman and discuss the latest regional ⁠and international developments and bilateral cooperation at various levels," Tasnim said.

The date and venue of the next round of talks are yet to be announced.


Russia’s Lavrov Sees No ‘Bright Future’ for Economic Ties with US

06 February 2026, Russia, Moscow: Russian Foreign Minister Sergei Lavrov gives a press conference following a meeting with Organization for Security and Cooperation in Europe (OSCE) Chairperson-in-Office Ignazio Cassis, head of Switzerland's Federal Department of Foreign Affairs, Federal Councilor of the Swiss Confederation, and OSCE Secretary General Feridun Sinirlioglu at the Russian Foreign Ministry's Reception House. (Sofya Sandurskaya/TASS via ZUMA Press/dpa)
06 February 2026, Russia, Moscow: Russian Foreign Minister Sergei Lavrov gives a press conference following a meeting with Organization for Security and Cooperation in Europe (OSCE) Chairperson-in-Office Ignazio Cassis, head of Switzerland's Federal Department of Foreign Affairs, Federal Councilor of the Swiss Confederation, and OSCE Secretary General Feridun Sinirlioglu at the Russian Foreign Ministry's Reception House. (Sofya Sandurskaya/TASS via ZUMA Press/dpa)
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Russia’s Lavrov Sees No ‘Bright Future’ for Economic Ties with US

06 February 2026, Russia, Moscow: Russian Foreign Minister Sergei Lavrov gives a press conference following a meeting with Organization for Security and Cooperation in Europe (OSCE) Chairperson-in-Office Ignazio Cassis, head of Switzerland's Federal Department of Foreign Affairs, Federal Councilor of the Swiss Confederation, and OSCE Secretary General Feridun Sinirlioglu at the Russian Foreign Ministry's Reception House. (Sofya Sandurskaya/TASS via ZUMA Press/dpa)
06 February 2026, Russia, Moscow: Russian Foreign Minister Sergei Lavrov gives a press conference following a meeting with Organization for Security and Cooperation in Europe (OSCE) Chairperson-in-Office Ignazio Cassis, head of Switzerland's Federal Department of Foreign Affairs, Federal Councilor of the Swiss Confederation, and OSCE Secretary General Feridun Sinirlioglu at the Russian Foreign Ministry's Reception House. (Sofya Sandurskaya/TASS via ZUMA Press/dpa)

Russia remains open for cooperation with the United States but is not hopeful about economic ties despite Washington's ongoing efforts to end the Ukraine war, Russian Foreign Minister Sergei Lavrov said in an interview published on Monday.

Speaking to Russia-based media outlet TV BRICS, ‌Lavrov cited what ‌he called the ‌United ⁠States' declared ‌aim of "economic dominance".

"We also don't see any bright future in the economic sphere," Lavrov said.

Russian officials, including envoy Kirill Dmitriev, have previously spoken of the prospects for a major restoration ⁠of economic relations with the United States as ‌part of any eventual Ukraine ‍peace settlement.

But although ‍President Donald Trump has also ‍spoken of reviving economic cooperation with Moscow and has hosted his Russian counterpart Vladimir Putin on US soil since returning to the White House, he has imposed further onerous sanctions on Russia's vital ⁠energy sector.

Lavrov also cited Trump's hostility to the BRICS bloc, which includes Russia, China, India, Brazil and other major developing economies.

"The Americans themselves create artificial obstacles along this path (towards BRICS integration)," he said.

"We are simply forced to seek additional, protected ways to develop our financial, economic, logistical and ‌other projects with the BRICS countries."