Ukraine and the US have agreed on financial assistance in the form of a loan.

The Cabinet of Ministers of Ukraine approved an agreement between Ukraine and the US on attracting financial aid for the Ukrainian budget within a support package totaling more than $60B. Economic assistance from the US will amount to almost $7.899B:

1. $7.849B will be allocated from the Economic Support Fund (ESF), which will be directed to the state budget of Ukraine.
2. $50M will be allocated to ensure food security.

According to the agreement, the US funds will be provided based on an interest-free loan, which will not include any adjustment for inflation. The loan will be repaid in one payment, made in US dollars, 40 years after September 30, 2025 (September 30, 2065).

The agreement provides for the possibility of writing off the loan at the US president’s discretion. After November 15, 2024, the US president can write off up to 50% of the loan amount. After January 1, 2026 any amount remaining to be repaid can be forgiven. Cancellation of the loan will be irrevocable and irreversible.