The European Parliament’s Trade Committee, supported by an overwhelming majority of votes, to provide financial support to Ukraine through a €35B loan secured by the Russian frozen assets.
“This is the EU’s contribution to the G7 initiative to support Ukraine by allocating $50B,” the European Parliament said in a statement.
Payments for this extraordinary macro-financial loan will be coordinated through the Credit Mechanism for Cooperation with Ukraine. Ukraine can use the new macro-financial credit in the areas it considers necessary. New funds under the loan will become available by the end of 2024 and must be paid by the end of 2025.
Loan payments are conditioned by Ukraine’s compliance with its own obligations regarding effective democratic transformations and respect for human rights.
The European Commission’s proposal regarding the payment of this loan to Ukraine has yet to receive the support of the entire European Parliament. Voting is expected the next plenary week, October 21-24.