European Commission to start paying Ukraine loan from proceeds from frozen Russian assets in January

The European Commission (EC) announced on Thursday its decision to disburse a €18.1 billion macro-financial assistance loan to Ukraine starting in early 2025. The loan will be repaid from the proceeds from frozen Russian assets.

Source: Interfax-Ukraine

Quote: "The decision taken today by the European Commission to allocate EUR 18.1 billion to Ukraine came at a crucial time. It sends a clear signal that the EU's long-term commitment to supporting Ukraine's fight for freedom is unwavering," said Valdis Dombrovskis, European Commissioner for Economy and Productivity; Implementation and Simplification.

He said that this funding will help Ukraine solve its urgent budgetary problems. The European Commissioner said it is the EU's contribution to the G7 initiative on loans for Kyiv secured by the proceeds from frozen Russian assets, which should amount to a total of EUR 45 billion.

The EUR 18.1 billion loan will be disbursed in tranches over the course of 2025. The first tranche is due in early January, the European Commission said.

"This decision was taken after the commission concluded that Ukraine has fulfilled all the political conditions agreed upon for the disbursement of this money," the EC communiqué said.

Background: The European Union and Ukraine have signed a memorandum of understanding to provide macro-financial assistance worth €18.1 billion secured by frozen Russian assets.

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