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Kiev approves attracting $15 bln of Russian-asset backed funds from IBRD

In early December, the Ukrainian government published the conditions for receiving funds using frozen Russian assets

MOSCOW, December 13. /TASS/. The Ukrainian government has approved attracting $15 billion from the International Bank for Reconstruction and Development to Kiev as part of the previously agreed G7 initiative to allocate a $50 billion loan backed by profits raised from seized Russian assets, Taras Melnychuk, a representative of the Ukrainian government in the Verkhovna Rada, announced.

"The government has approved attracting a grant for budget support from the International Bank for Reconstruction and Development, acting as the executive institution of the Financial Intermediary Facility to assist in attracting resources for investment in strengthening Ukraine, <...> in the amount of up to $15 billion," Melnychuk wrote on his Telegram channel.

In early December, the Ukrainian government published the conditions for receiving funds using frozen Russian assets. The loan proceeds are granted via the Financial Intermediary Facility, which was established by the World Bank on October 10 in order to facilitate mobilization of resources for investment in Ukraine.

In October, the Group of Seven (G7) countries announced that they had agreed on technical details of providing Ukraine with a $50 billion loan backed by profits raised from seized Russian assets. They noted that the loans will be serviced by future revenues from frozen sovereign assets of Russia in the framework of legal systems of the G7 countries and international law.

Kremlin spokesman Dmitry Peskov said that Russia would definitely respond to the theft of its assets in Europe. He stressed that Moscow intends to take legal action against anyone involved in the theft of its assets. According to the Kremlin representative, Europe made the wrong move by deciding to use Russian assets to help Kiev.