G7 to sign framework agreement on $50 billion loan to Ukraine

In the coming months, the G7 countries will sign a framework agreement to provide Ukraine with a loan that will be serviced by proceeds from the frozen assets of the Russian Federation.

This was stated by European Commissioner for Economic Affairs Paolo Gentiloni, RBC-Ukraine reports citing Reuters.

We are talking about a $50 billion loan. Gentiloni noted that on Wednesday, July 24, G7 ministers met on this issue and managed to make significant progress in the technical and legal aspects of the loan.

“I am confident that we will be able to conclude an agreement by October. By October, I mean a framework,” he clarified.

Reuters writes that the $50 billion loan will be serviced by proceeds from the Russian Central Bank's assets worth about $300 billion, frozen in the West after Russia's invasion of Ukraine in 2022.

The agency also added that although there is no unanimous support among the G7 for the confiscation of Russian assets, there is agreement on the possibility of using the profits generated by the assets.

Author - Dmitriy Levchenko, 26/07/2024