"Reparation loan" from the EU for Ukraine could reach 130 billion euros – Reuters

The European Union’s “reparation loan” for Ukraine could amount to up to 130 billion euros. The size of the loan will be determined after the International Monetary Fund assesses Ukraine’s financial needs in 2026 and 2027. This is reported by Reuters with reference to the words of EU officials close to the negotiations, UNN reports.

DetailsAccording to media reports, the idea of a reparation loan to Kyiv, based on the remnants of Russian assets blocked in the West after Moscow’s invasion of Ukraine in 2022, was put forward by European Commission President Ursula von der Leyen on September 10.

This loan, intended to help Kyiv finance military operations, will be repaid by Ukraine only after receiving reparations from Russia as part of a peace agreement. According to her, this risk will be borne collectively by European countries and, possibly, some other G7 countries.

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Most of Russia’s assets in Europe, worth about 210 billion euros, are held in the Belgian central securities depository Euroclear. According to officials, Euroclear assets worth 175 billion euros have already been repaid and have become funds that can form the basis of a new loan.

However, officials said that before the EU starts providing a reparation loan, it would like to repay the G7 loan of 45 billion euros (50 billion US dollars) agreed last year.

According to three officials close to the discussion, this would leave about 130 billion euros of the remaining funds available for the new instrument.

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