US provides Ukraine with $20 billion in loan to be repaid from frozen Russian assets

The US Treasury Department has announced a $20 billion loan to Ukraine as part of a G7 initiative that provides a total of $50 billion in assistance. The funds will be repaid from the proceeds of frozen Russian assets. This is an important step in supporting Ukraine in its fight to ensure financing for key state needs.

The initiative, called ERA (Extraordinary Revenue Acceleration), provides collective assistance from the G7 countries, as well as contributions from the European Union, the United Kingdom, Canada and Japan. The total amount of assistance is $50 billion, which will allow Ukraine to receive the necessary resources to ensure the operation of emergency services, hospitals and other critical institutions supporting the state in wartime.

US Treasury Secretary Janet Yellen noted that the funds provided will be important support for Ukraine, providing financing for urgent needs. "This $50 billion will help Ukraine survive as it continues its fight for its independence," Yellen emphasized.

Ukrainian Prime Minister Denys Shmyhal said the funds had already been transferred to the World Bank fund, through which they would become available to Ukraine. "This is just the first step. Our goal is the complete confiscation of Russian assets, and these funds will help bring us closer to this goal," Shmyhal said, noting that the aggressor must pay for the destruction caused.

Ukraine clarified that the funds would not be spent on covering expenses at the expense of Ukrainians' taxes or taxpayers of the G7 and EU countries. The $20 billion provided by the United States will allow Ukraine to ensure priority spending in the state budget starting in 2025.

It was also reported that the first tranche under this program would be provided to Ukraine in 2025. This funding will become an important part of supporting the Ukrainian economy in the post-war period, contributing to the restoration of infrastructure and stabilization of the financial situation.