By Jorge, Liboreiro, Euronews, 10/9/24

Under the G7 plan, the windfall profits earned by Russia’s frozen assets will be used to gradually repay a multi-billion loan for Ukraine.

European Union countries have given their green light to an unprecedented plan to issue a €35 billion loan to support Ukraine’s war-battered economy using the immobilised assets of Russia’s Central Bank as collateral.

The deal is part of a broader initiative by G7 allies to provide €45 billion ($50 billion) to Kyiv as soon as possible. The country is struggling to contain a renewed Russian offensive that has badly damaged its power system and depleted its military stocks.

The €35 billion will be “undesignated” and “untargeted,” according to EU officials, meaning the Ukrainian government will have maximum flexibility to spend the assistance. Brussels hopes to start doling out the money early next year.

The agreement, reached on Wednesday evening by ambassadors, comes a day after Hungary confirmed it would block a key change in the EU sanctions regime until after the United States elects its next president on 5 November…

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