Connect with us

European Commission

Commission disburses first €3 billion to Ukraine of its part of the G7 loan, to be repaid with proceeds from immobilized Russian assets

SHARE:

Published

10 months ago

on

We use your sign-up to provide content in ways you've consented to and to improve our understanding of you. You can unsubscribe at any time.

The European Commission has disbursed the first €3 billion tranche of its exceptional Macro-Financial Assistance (MFA) loan for Ukraine, which will be repaid with proceeds from immobilised Russian State assets in the EU. This loan, amounting up to €18.1bn, represents the EU's contribution to the G7-led Extraordinary Revenue Acceleration (ERA) loans initiative, which collectively aims to provide approximately €45bn in financial support to Ukraine. This initial disbursement highlights the EU's unwavering commitment to helping Ukraine confront Russia's full-scale war of aggression, maintain macroeconomic and fiscal stability, rebuild vital infrastructure, including its energy systems, and invest in defence infrastructure. 

This MFA is crucial for addressing Ukraine's urgent budgetary needs, which have considerably risen in the face of Russia's intensified and prolonged war of aggression. With the stable, regular, and predictable financial support of up to €18.1bn for 2025 under this instrument, Ukraine will be able to support its current and future military, budget and reconstruction needs. This loan will be able to ensure macroeconomic stability and restore critical infrastructure destroyed by Russia, such as energy infrastructure, water systems, transport networks, roads and bridges. Furthermore, the loan can be used by Ukraine to directly support its military expenses. At the same time, by stabilizing public finances, this assistance will also enable Ukraine to allocate resources to other priority expenditures, including military defence infrastructure against Russian aggression.

Since the beginning of Russia's war of aggression against Ukraine, the EU, together with its Member States, has unequivocally condemned Russia's actions and has offered unprecedented support to Ukraine and its people. With this MFA disbursement, the EU, its ember stamtes and European Financial Institutions have together provided nearly €134bn, supporting the Ukrainian war effort and its economy, helping maintain basic services and offer early reconstruction, humanitarian assistance and help to those fleeing the war in the EU.

The press release is available online.

Share this article:

Related Topics:
EU Reporter publishes articles from a variety of outside sources which express a wide range of viewpoints. The positions taken in these articles are not necessarily those of EU Reporter. Please see EU Reporter’s full Terms and Conditions of publication for more information EU Reporter embraces artificial intelligence as a tool to enhance journalistic quality, efficiency, and accessibility, while maintaining strict human editorial oversight, ethical standards, and transparency in all AI-assisted content. Please see EU Reporter’s full A.I. Policy for more information.
Advertisement

Trending