The G7 supported the use of frozen Russian assets to finance Ukraine.
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G7 finance ministers supported the idea of providing a loan to Ukraine guaranteed by income from Russia’s frozen assets. This will help ensure financing for Kyiv after 2024. This was reported by the Financial Times, whose journalists got acquainted with the draft communiqué of the ministerial meeting.
It is noted that diplomats discussed the US proposal to provide Ukraine with a loan of about $50 billion, which will be repaid using income from the assets of the Central Bank of Russia in the amount of about 190 billion euros. Now this money is frozen in the central Belgian securities depository Euroclear.
According to the FT, ministers have “made progress” on options for shaping this loan. These decisions will be presented to the G7 leaders before the summit in June.
The article also suggests that Europeans are particularly concerned about “fair risk sharing,” fearing that Europe will bear the brunt of financial and legal risks. They are also worried about possible mirror actions from Russia.
Let us recall that on May 21, the EU Council agreed to use proceeds from the frozen assets of the Central Bank of Russia in favor of Ukraine. Annual revenues will be approximately 2.5-3 billion euros. And 90% of the proceeds will go to military support of the defense forces. 10% is allocated for the reconstruction and restoration of Ukraine.
Source: Financial Times
Source: Racurs
I am David Wyatt, a professional writer and journalist for Buna Times. I specialize in the world section of news coverage, where I bring to light stories and issues that affect us globally. As a graduate of Journalism, I have always had the passion to spread knowledge through writing.