EU to Raise €40 Billion in Loans for Ukraine Without US Participation by 2024

Sep 20, 2024, 06:08 AM

The European Union is set to raise up to €40 billion in loans for Ukraine by the end of 2024, regardless of US participation. This move comes after a G7 plan to use frozen Russian assets to aid Kyiv faltered, with concerns in Brussels that Hungary may block the initiative. The funds are critical to help Ukraine address a $38 billion financing gap and finance its budget, as the country may face a funding shortfall in 2025. Additionally, European Commission President Ursula von der Leyen has announced a €35 billion loan for Ukraine as part of a G7 effort to raise $50 billion using future profits from frozen Russian state assets. Von der Leyen is currently in Kyiv to discuss the allocation of these funds, which will be used for energy, defense, and bomb shelters in schools and kindergartens.