A local resident walks past police officers after a drone attack in Kyiv on October 17. Photographer: Sergei Supinsky/AFP/Getty Images 
The European Union is set to sanction one entity and three Iranian generals for providing military support to Russia for its war against Ukraine and their involvement in providing Moscow with drones.
Thirteen Iranian-made drones were shot down in the southern Mykolayiv region overnight, Ukraine’s military said. As of Oct. 19, Ukrainian units have downed 223 Shahed-136 drones, the Air Force said on its Telegram channel.
(See RSAN on the Bloomberg Terminal for the Russian Sanctions Dashboard.)
Key Developments
- Biden Seeks Power From Congress to Expedite Ukraine Weapons
- Ukrainians Return Home by the Millions Even as War Rages On
- Italy’s Berlusconi Says Putin Sent Him Vodka and a Sweet Letter
- Europe Diesel Stockpiles Set to Tank When Russian Supply Cut Off
- Disobedience Could Save the World From Putin: Andreas Kluth
On the Ground
Energy infrastructure was targeted near Kryvyi Rih in the Dnipropetrovsk region by a Russian strike, leaving part of the city and many settlements in the area without electricity, Mayor Oleksandr Vilkul said on Telegram. Over the past day Ukrainian troops repelled Russian attacks near 11 settlements in the Kharkiv, Luhansk and Donetsk regions, Ukraine’s General Staff said. Ukrainian units downed a Russian Ka-52 helicopter in the Beryslav district of the Kherson region on Wednesday, the Air Force said on its Telegram channel.
(All times CET)
EU Set to Sanction Iran Drone Maker (12:58 p.m.)
The EU is aiming to approve sanctions against three Iranian generals and one entity for providing military support to Russia on Wednesday and formally adopt them by Thursday, several officials said.
The entity, Shahed Aviation Industries, is responsible for the design and development of the Shahed series of drones that are being used in Ukraine. Iran has repeatedly denied exporting any weapons for use in the war in Ukraine.
Germany Sees No Urgency for Approving More Funds for Ukraine (12:38 p.m.)
Germany is dragging its feet to approve 3 billion euros ($2.9 billion) in loans for Ukraine and complete the release of the 9 billion-euro package promised by the European Union in May.
Berlin told member states early this week that there was no financing gap in the war-torn country until the end of the year. For that reason, it considered it unnecessary to urge EU leaders to complete the approval of the remaining tranche when they meet in Brussels on Thursday and Friday, according to people familiar with the discussion.
Germany remains at loggerheads with the European Commission over the design of the financial package for Ukraine, and the delay to disburse the funds has irked US and Ukrainian officials.
Ukraine Makes Progress Toward EU Accession: German Envoy (12:01 p.m.)
Germany’s ambassador to Ukraine, Anka Feldhusen, said the country had made progress on reform of the judiciary, as well as on electing a head of the National Anti-Corruption Bureau as part of its bid to join the EU. The German government will monitor the authorities’ work in these areas, she said in a video briefing from Kyiv, adding that her country’s mission was working despite recent attacks on the Ukrainian capital.
“The German embassy, like other embassies in Kyiv, operates as before the attacks,” Feldhusen said. “We are shoulder to shoulder with the Ukrainian society. I am indeed impressed how calmly people, especially in Kyiv, live through this.”
Russian Occupation Authorities Leaving City of Kherson (10:56 a.m.)
Russian occupation authorities are leaving the city of Kherson for the eastern bank of the Dnipro River amid a continuing Ukrainian counteroffensive in the area.
Russia-appointed Governor Vladimir Saldo told state television the move would be completed Wednesday but said there are no plans to surrender the city, which was the first regional capital to fall to Russia in the invasion. Saldo said 5000 people had already departed over the last two days as officials appeal to civilians to leave, promising to relocate them farther east.
The state-run Tass news service reported that Russian occupation officials sent out text messages alerting residents of the southern city early Wednesday and plan to relocate as many as 60,000 people from areas on the western side of the Dnipro.
Estonia Says US to Boost Troops, Weapons (9:10 a.m.)
The US will send additional military personnel and weapons to Estonia as tensions with Russia over its invasion of Ukraine persist, the Baltic nation’s defense minister said.
“We reached an agreement in principle that the US will contribute to Estonia’s security with additional rotating units and capabilities,” Estonian Defense Minister Hanno Pevkur said in an emailed statement during a three-day trip to the US during.
UK Defense Chief Flies to Washington (8:59 a.m.)
UK Defence Secretary Ben Wallace flew to Washington DC Tuesday for talks with his US counterpart as the British government noted a shift in tactics from Russia in Ukraine.
“They’re moving towards more attacks on civilian infrastructure rather than on military targets,” UK Foreign Secretary James Cleverly told Sky News on Wednesday. “I’m not going to guess or speculate on what was discussed” in Washington.
Naftogaz Restructuring Blocked by Hedge Fund (7:25 a.m.)
London-based VR Capital is one of the investors involved in a stand-off between NJSC Naftogaz Ukrainy and its bondholders, the Financial Times reported, citing unidentified people familiar with the matter.
VR, which declined to comment to the newspaper, is a big holder of the energy company’s bonds and has taken a lead role in blocking the restructuring plan.