G7 agrees $50bn loan for Ukraine from Russian assets

The G7 has agreed to use frozen Russian assets to raise $50bn  for Ukraine to help it fight invading Russian forces

Afinju FM
2 Min Read


US President Joe Biden said it was another reminder to Russia that they are not backing down, but in Moscow President Vladimir Putin said the move was theft which would not go unpunished.


Also at the G7 summit in Italy, Ukrainian President Volodymyr Zelensky and Mr Biden signed a 10-year bilateral security deal between Ukraine and the US, hailed by Kyiv as historic.


The agreement envisages US military and training aid to Ukraine – but it does not commit Washington to send troops to fight for its ally.


According to the White House, the security deal means Washington and Kyiv will work to build and maintain Ukraine’s defence and deterrence capability, bolster the country’s defence industrial base, and support economic recovery and energy security.


The statement added that the security deal also means that in the event of a future Russian armed attack against Ukraine, there will be consultation at the highest levels to determine appropriate and necessary measures to support Ukraine and impose costs on Russia.


Separately, some $325bn worth of assets were frozen by the G7, alongside the EU, following Russia’s full-scale invasion of Ukraine in 2022. The pot of assets is generating about $3bn a year in interest.


Under the G7 plan, that $3bn will be used to pay off the annual interest on the $50bn loan for the Ukrainians, taken out on the international markets.

TAGGED: , ,
Share This Article
Leave a comment

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

  • https://stream.zeno.fm/dk8ldnmy1wbvv