Leaders of the Group of Seven (G7) major have reached an outline agreement to provide $50 billion in loans to Ukraine, funded by interest from frozen Russian sovereign assets. The announcement was made during the opening day of the G7 summit in southern Italy, attended for the second consecutive year by Ukrainian President Volodymyr Zelenskiy.
President Zelenskiy also revealed that Ukraine had signed a 10-year security accord with Japan, which includes $4.5 billion in aid for this year. Additionally, Zelenskiy is set to sign a long-term security agreement with U.S. President Joe Biden later in the day.
The G7’s plan involves a multi-year loan using profits from approximately $300 billion of frozen Russian funds. The technical details of this arrangement are expected to be finalized in the coming weeks. A G7 diplomatic source, who requested anonymity, mentioned that the additional funding would be available by the end of this year.
A senior U.S. official stated that the United States had agreed to contribute up to $50 billion, although this amount could decrease as other countries join the initiative. The goal is to ensure the funding continues regardless of political changes within G7 nations, addressing concerns about potential shifts in U.S. policy if Donald Trump wins the presidential election in November.
Russian foreign ministry spokeswoman Maria Zakharova criticized the West’s attempt to use income from frozen Russian assets, calling it criminal and warning of severe repercussions for the European Union.
The leaders also addressed other global concerns, including tensions on the Israel-Lebanon border, the Gaza conflict, and China’s industrial overcapacity. They emphasized the importance of supporting African economies and ensuring international legal compliance in conflict zones.
The G7 summit, held at the luxurious Borgo Egnazia resort in Puglia, includes a diverse range of invitees, such as Pope Francis and leaders from India, Brazil, Argentina, Turkey, Algeria, and Kenya.
