The United States is prepared to spearhead a $50 billion loan to Ukraine, contingent on the European Union’s indefinite extension of sanctions against Russia, according to a Financial Times report.
This proposal was outlined in an EU discussion paper for a virtual meeting of the bloc’s finance ministers.
The loan would be repaid using profits from frozen Russian assets.
However, specific details such as the loan’s maturity, interest rate, and whether it would be provided directly or through an intermediary like the World Bank, are yet to be finalized.
The US is also considering alternative options should the profits from the frozen assets fall short of the required repayments or if the EU fails to extend the sanctions.
Currently, the EU, Canada, the US, and Japan have frozen Russian assets totaling approximately $300 billion.
About $5-6 billion of these assets are in the US, with the majority held by European depositories, notably the Belgium-based Euroclear international platform.
