Maroc - ENG.UATV.UA - A La Une - 10/Jan 11:57

EU delivers first EUR 3B from G7 loan to Ukraine

The European Union has made the first payment of EUR 3 billion as part of its contribution to the G7 loan package for Ukraine. As reported by Ukrinform, this information was shared on the social media platform X by European Commission President Ursula von der Leyen. "Almost 3 years into Russia’s war of aggression, Ukraine can keep counting on its friends and partners. Today, we deliver €3 billion to Ukraine, the 1st payment of the EU part of the G7 loan. Giving Ukraine the financial power to continue fighting for its freedom – and prevail," von der Leyen stated. Ukraine’s Prime Minister Denys Shmyhal noted that the EUR 3 billion received from the EU under the ERA initiative would be allocated to priority budgetary expenditures. The funds have been deposited into Ukraine’s state budget, marking the first tranche of EU funds backed by revenues from frozen Russian assets. According to Shmyhal, the G7's ERA initiative aims to provide USD 50 billion to Ukraine, with EUR 20 billion coming from the European Union. “This fulfills the principle that ‘Russia will pay,’ while strengthening Ukraine’s financial resilience for 2025,” Shmyhal emphasized, expressing gratitude to international partners for their unwavering support and solidarity. As reported, in December 2024, the European Commission announced its decision to provide Ukraine with EUR 18.1 billion in macro-financial assistance. This package will be disbursed in equal installments throughout 2025, with the first tranche sent in January. The EUR 18.1 billion forms part of the G7’s ERA initiative (Extraordinary Revenue Acceleration Loans) – a collective loan framework of EUR 45 billion. This funding will help Ukraine cover budgetary and military expenditures, as well as recovery efforts. The ERA initiative leverages blocked Russian sovereign assets and voluntary contributions from member and third countries. These funds will also help service the principal and interest on loans extended to Ukraine under the ERA program, including macro-financial aid. The European Commission’s decision to grant the EUR 18.1 billion loan was based on Ukraine’s compliance with key political conditions, including implementing reforms in areas such as: macroeconomic stability, state-owned enterprise reforms, public administration reform, energy sector modernization, rule of law, anti-corruption measures. Ukraine also committed to collaborating with the EU on recovery and rebuilding efforts, as well as modernizing its defense industry. The post EU delivers first EUR 3B from G7 loan to Ukraine appeared first on Freedom.