The European Union's "reparations loan" for Ukraine could be up to 130 billion euros, EU officials close to the talks said, with the size to be finalised after the International Monetary Fund's assessment of Ukraine's financing needs in 2026 and 2027, APA reports citing Reuters.
The idea of a reparations loan to Kyiv, based on cash balances of Russian assets immobilised in the West after Moscow invaded Ukraine in 2022, was floated by European Commission President Ursula von der Leyen on September 10.
The loan, aimed at helping Kyiv fund its war effort, would be repaid by Ukraine only once it receives reparations from Russia in a peace accord. The risk would be carried collectively by European and possibly also some other G7 countries, she said.
Most of the roughly 210 billion euros worth of Russian assets held in Europe are in Belgian central securities depository Euroclear. Officials said 175 billion euros of the assets in Euroclear have now matured and become cash that could be the basis of the new loan.
But officials said that before the EU would move ahead with the reparations loan, it would want to repay the 45 billion euro ($50 billion) G7 loan agreed last year.
That would leave some 130 billion euros from the cash balance available for the new instrument, three officials close to the discussions said.
Follow us on Telegram
t.me/apanewsaz
Follow us on Instagram
Follow us on TikTok
Follow us on Facebook
Follow us on X
