G7 leaders agree to lend Ukraine $50 billion using frozen Russian assets
G7 leaders on Thursday agreed to lend Ukraine $50 billion this year -- backed by profits from frozen Russian assets -- to help the country's war effort and rebuilding, AFP reports.
This plan has been years in the making. It's a win for President Biden, who has been pushing allies to agree to the deal, amid hesitation from some European countries.
The agreement will be formalized in the communique at the end of the summit.
But there are still key details of the plan the countries need to work out. The US is willing to make a loan of up to $50 billion, though it's unclear exactly how much the U.S. will end up lending. Other counties will pitch in to share the risk.
"We're going to move with urgency," a senior administration official said on a call with reporters.
"Ukraine is still going to have a large financial need next year and beyond and this summit is our best chance to act collectively to close the gap… This agreement is a signal from the leading democracies of the world, that we're not going to fatigue and defending Ukraine's freedom and that Putin is not going to outlast us."
Officials said that while it will take time for the funds to be disbursed, they do expect the money to begin to be disbursed this calendar year.
Funds will be used for military, budget, humanitarian, and reconstruction support.
