The countries of the "Group of Seven" plan to keep frozen Russian sovereign assets even after the end of Russia's war against Ukraine.
Points of attention
- The G7 leaders plan to block Russian sovereign assets even after the end of the war against Ukraine, until the Russian Federation compensates for the damage caused. This is a statement from their team, prepared by Italy.
- The plan also includes granting Ukraine a loan in the amount of 50 billion dollars, as well as macro-financial assistance from the EU in the amount of 35 billion euros, which will be partially covered by funds from the frozen assets of the Russian Federation.
- The loan from the EU for Ukraine should be available from 2024 and be repaid within a maximum of 45 years. It will be subject to the same political conditions as the Ukraine Facility, in particular, in terms of reforms and prevention of violations.
The assets of the Russian Federation will remain frozen until Moscow compensates Ukraine for the damages caused
As the publication notes, the G7 leaders will issue a statement this month stating that Russian sovereign assets will remain frozen until Moscow compensates Ukraine for the damages.
We confirm that Russia's sovereign assets in our jurisdictions will remain blocked until it ceases its aggression and compensates for the damage caused to Ukraine," said the draft statement of the G7 leaders prepared by Italy.
The document also states that the countries of the bloc will provide Ukraine with a loan in the amount of 50 billion dollars.
The Council of the EU approved the provision of a 35 billion euro loan for Ukraine
On October 9, the Council of the EU reached an agreement on providing Ukraine with a package of macro-financial assistance in the amount of up to 35 billion euros, which will be part of a loan from the Group of Seven, for which the profits from the frozen assets of the Russian Federation will be used.
The EU plans for funds to become available to Ukraine from 2024, and the loan to be repaid within a maximum of 45 years.
The new macro-financial assistance will be tied to the same political conditions as under the existing mechanism of financial assistance from the EU Ukraine Facility, which are set out in the special reform plan (Ukraine Plan)
Management and control systems proposed under the Ukraine Plan and specific provisions to prevent fraud and other violations will also apply to this loan.
In order to speed up adoption and ensure that Ukraine starts receiving macro-financial assistance as soon as possible, the member states have now agreed that if the European Parliament adopts the European Commission's proposal without changes, the Council will also adopt the text without amendments.
