G7 Commits $50 Billion to Support Ukraine, Repaid Through Russian Frozen Assets
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Roshan Amiri - . October 26, 2024
- . Update: October 26, 2024 7:12 pm
According to a joint statement shared by the Italian government, G7 leaders have agreed to provide Ukraine with around $50 billion in loans.
The statement explains that these loans will be repaid using funds frozen assets of Russia. The G7 aims to start disbursing the funds by the end of the year, following each country’s legal guidelines and international law.
According to the statement, “Today, we, the Leaders of the Group of Seven (G7), have reached a consensus on how to deliver approximately $50 billion in Extraordinary Revenue Acceleration (ERA) loans to Ukraine,” said the announcement posted on the Italian government’s website.
This announcement came as world financial leaders were in Washington for meetings hosted by the International Monetary Fund and World Bank. World leaders called Russia to end the war and repay to Ukraine. The statement specifies that the G7’s loans to Ukraine will be repaid using revenues from Russia’s frozen assets.
“These loans will be serviced and repaid by future flows of extraordinary revenues stemming from the immobilization of Russian Sovereign Assets, in line with the respective legal systems of G7 countries and international law… Our aim is to begin disbursing the funds by the end of the year,” the statement added.
Russia has criticized this move. Moscow has repeatedly stated that any attempts to confiscate its frozen assets amount to theft, violate international law, and will not go unpunished.
According to NNA official news agency of Lebanon, Dmitry Peskov the Kremlin spokesman told Sputnik that Russia would do everything possible to recover the seized assets.
Let us remind you, that earlier this week US President Joe Biden stated that US will provide $20 billion as loan to Ukraine, it will be paid back by the interest from immobilized Russian sovereign assets.
Arab news reported that “Our efforts make it clear: tyrants will be responsible for the damages they cause,” Biden said.
The remaining $30 billion in loans is set to come from a combination of G7 partners, including the EU, UK , Canada and Japan.
