Latest news with #G7ERA
Yahoo
21-03-2025
- Business
- Yahoo
EU may allocate up to €9bn for weapons to Ukraine using proceeds from frozen Russian assets
The European Union may allocate up to €9 billion for military aid to Ukraine in 2025 as part of assistance funded through proceeds derived from frozen Russian assets. Source: European Pravda Details: The conclusions of the 20 March EU summit mentioned "the military needs component of the G7 ERA initiative" among the possible ways to finance Ukraine's military needs. This refers to a loan mechanism under which the European Union will provide Ukraine with €18.1 billion in 2025 through the taxation of profits from frozen Russian assets. "One of the diplomats representing a major EU national told European Pravda that under the terms of the G7 ERA loans secured by the income generated by frozen Russian assets, Ukraine could allocate up to €9 billion for military needs, half of the amount announced for 2025," European Pravda noted. Meanwhile, the article notes that it is not yet clear what the Ukrainian government's plans are for this €18.1 billion. Previously: The discussion of the ERA mechanism comes as the European Union criticises the plan of its chief diplomat, Kaja Kallas, to allocate billions of euros for weapons to Ukraine, citing the lack of specific implementation mechanisms. "However, Kallas' initiative isn't dead either. The next substantive discussion on it at the political level will take place at an informal meeting of EU defence ministers in Warsaw on 2-3 April," the article reads. Support Ukrainska Pravda on Patreon!
Yahoo
06-03-2025
- Business
- Yahoo
EU to propose that Ukraine use credit from frozen Russian assets for defence spending, says source from EU country
The European Union plans to propose that Ukraine cover its military needs for weapons and ammunition using part of the credit provided to Kyiv under the G7 Extraordinary Revenue Acceleration (ERA) initiative, which is financed by revenue from frozen Russian assets. Source: member of the delegation of a key EU country, speaking to European Pravda on the sidelines of the extraordinary European Council meeting in Brussels on 6 March Details: Due to the suspension of US military support and possible delays in the EU's creation of additional funding mechanisms, Ukraine may allocate part of the ERA credit line – which provides Kyiv with €18.1 billion in 2025 from revenues generated by frozen Russian central bank assets – for military procurement, the source told European Pravda. Quote: "We already have €18 billion on the table for this year, which Ukraine could use to receive military support immediately." Details: The source linked this initiative to the fact that the proposal by EU High Representative for Foreign Affairs Kaja Kallas to create a substantial military support fund for Ukraine – which could accumulate resources and weapons worth up to €20bn – has yet to gain widespread support among EU member states and remains under discussion. The official recalled that in 2025, the EU plans to provide Ukraine with over €30bn in macro-financial assistance, of which €12.5bn will come from the Ukraine Facility programme, while €18.1bn will come from the European portion of the G7 ERA credit, which is funded by revenue from frozen Russian assets. It was emphasised that the ERA credit could be used for military procurement. Quote: "The essence of this initiative is that we need to accelerate military support for Ukraine, depending on its needs, in the near future so that it can be in the best possible negotiating position. From the €18bn of this loan – from the European share of the G7 loan – we would like to be able to allocate a significant portion to military support." More details: The source did not specify how much of the €18.1bn could be directed towards defence procurement, as no final decision has been made at the EU level, but suggested that it could be "at least half". The European official also pointed out that the UK has already decided to allocate a portion of the revenue from frozen Russian assets on its territory to bolster Ukraine's air defence. Background: The EU is set to provide Ukraine with approximately €35 billion in financial assistance in 2025 under the G7 ERA credit initiative and the Ukraine Facility. Support Ukrainska Pravda on Patreon!
Yahoo
24-02-2025
- Business
- Yahoo
Ukraine to receive €3.5bn from EU in March, European Commission president says
Ukraine will receive a new €3.5 billion disbursement from the EU in March, European Commission President Ursula von der Leyen has said as she arrived for the International Summit on the Support of Ukraine in Kyiv. Source: European Pravda; Ursula von der Leyen in a statement Quote from von der Leyen: "I can announce that a new EUR 3.5 billion payment for Ukraine will arrive already in March." Details: She stressed that "Europe is here to strengthen Ukraine in this critical moment" and emphasised that the fate of both Ukraine and Europe is at stake, making Ukraine's resilience a priority for Europeans. "So far, our Union and Member States have supported Ukraine to the tune of EUR 134 billion. That is more than anybody else," von der Leyen stated. Background: Earlier, it was reported that the European Union would provide Ukraine with €35 billion in financial assistance in 2025 through the G7 ERA credit initiative and the Ukraine Facility programme. Ukraine's Deputy Prime Minister Yuliia Svyrydenko previously stated that Ukraine expects to receive €12.5 billion from the EU under the Ukraine Facility in 2025. The G7 Extraordinary Revenue Acceleration (ERA) initiative is financed by revenues generated from frozen Russian assets. The Ukrainian government anticipated that the EU's contribution to the G7 ERA would amount to €18.1 billion. Support Ukrainska Pravda on Patreon!
