Ukraine plans to reserve part of the $50B G7 loan for its financial needs after 2025.

The G7 initiative for Ukraine that will provide $50B secured by revenues from frozen Russian assets eliminates the state budget deficit for 2025. However, the government plans to keep part of these funds as a reserve for future years, Prime Minister of Ukraine Denys Shmyhal said at the 10th Kyiv International Economic Forum.

“This is what we planned; this is what we agreed on with the IMF and our partners,” he clarified.

Shmyhal noted that through this and other external financing, Ukraine will refrain from resorting to emission budget financing. The country will have resource to finance the army and all priority budget expenditures.

“Neither last year nor this year did we resort to emissions, which preserved our macro-financial stability and gave a certain predictability to both the exchange rate and inflation. These are important elements of stability,” the prime minister emphasized.

Shmyhal added that Ukraine will continue cooperating with the IMF and the EU within the Ukraine Facility programs.