Economics

The EU plans to provide Ukraine with a "reparation loan" that will be returned at the expense of Russia - Reuters

To spread: the European Union is negotiating to provide Ukraine with a "reparation loan" using frozen assets of the Russian Federation, which Kiev will only return after the aggressor state pays real reparations. The amount of such a loan can be up to 130 billion euros, writes Reuters, citing EU officials close to negotiations. "A loan aimed at helping Kyiv in financing hostilities will only be repaid after receiving reparations from Russia as part of a peace agreement," the material reads.

The final amount of "reparation loan" will be determined after evaluation by the International Monetary Fund of Ukraine's financial needs for 2026 and 2027. The risks of refunds will be carried by Europe collectively and possibly some other G7 countries (Great Seven). Journalists emphasized that most of Russian assets worth about 210 billion euros stored in Europe is located in the Belgian Central Depository of Securities of the EuroClear securities.

175 billion euros of these assets have already reached the maturity and have become cash that can be the basis for a new loan. The interlocutors of the publication noted that before the EU agreed to provide Ukraine with a "reparation loan", it will be necessary to pay off 45 billion euros of euros from G7, which was agreed last year. This will remain about 130 billion euros for a new loan. Recall that in April Donald Trump demanded from Europe financial reparations.