first payment from the European Union of 3 billion euros to Ukraine

G7 leaders reached an agreement in October to use interest generated by Russian sovereign assets frozen in their jurisdictions due to international sanctions to guarantee a $50 billion loan to Ukraine.

The European Union has paid a first tranche of three billion euros to Ukraine as part of a loan financed by Russian frozen assets in Europe, European Commission President Ursula von der Leyen announced on Friday. “Today we paid three billion euros to Ukraine, the first payment from the EU under the loan decided by the G7,” Ursula von der Leyen told X.

After months of discussions, G7 leaders reached an agreement in October to use interest generated by Russian sovereign assets frozen in their jurisdictions due to international sanctions, to guarantee a $50 billion loan for the ‘Ukraine. The EU’s share amounts to just over 18 billion euros.

This money “will give Ukraine the financial capacity to continue to fight for its freedom and to triumph,” assured the President of the European Commission.

235 billion euros in Russian assets frozen

After the Russian invasion of Ukraine, the European Union decided to freeze Russian assets, private and held by the Russian central bank, in the EU, a total of around 235 billion euros.

However, this is not the first time that the EU has mobilized frozen Russian assets to finance its aid to Ukraine. Last July, it paid 1.5 billion euros using the interest generated by these assets, before the G7 decided on this loan of 50 billion dollars.