Biden and G7 Partners Announce $50 Billion Loan to Ukraine from Russia’s Frozen Funds

According to a statement released Friday, G7 leaders have finalized details surrounding a $50 billion loan to aid Kyiv, these loans will be repaid using funds frozen assets of Russia. 

According to the statement by Ilatian government the G7 aims to start disbursing the funds by the end of the year.

Earlier this week US President Biden said, the US will provide $20 billion as loan to Ukraine, and it will be paid back by the interest from immobilized Russian sovereign assets.The remaining $30 billion in loans is set to come from a combination of G7 partners. 

Arab news reported that in his statement  Biden said that “Our efforts make it clear: tyrants will be responsible for the damages they cause”.

A new combined statement by G7 leaders came when world financial leaders were in Washington for meetings hosted by the International Monetary Fund and World Bank. World leaders called on 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.

In recent statement G7 leaders stated; “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.

“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.

Dmitry Peskov the Kremlin spokesman told Sputnik that Russia would do everything possible to recover the seized assets, According to NNA official news agency of Lebanon.