US wants to give Ukraine a $50bn loan to be repaid with proceeds from frozen Russian assets — The Anti-Corruption Action Center board member

The Council of the European Union has decided to use the proceeds from frozen Russian assets within the member states for Ukraine’s military needs, amounting to about €3 billion a year. Meanwhile, the United States, along with a large package of military aid for Ukraine, has passed a law on the confiscation of frozen Russian assets, although it has not yet been utilized.

Olena Halushka, a board member of the Anti-Corruption Action Centre and co-founder of the International Centre for Ukrainian Victory, discussed this on Hromadske Radio. She stated:

«Even in this story, the United States is much more ahead of the European Union. If the EU, and specifically Germany, France, and Belgium, had not resisted in this matter, we could have already seen progress towards the complete confiscation of Russian assets.

During the adoption of the $61 billion military aid package, the US passed a confiscation law that allows for the confiscation of sovereign assets of the Russian Central Bank in the US. According to various estimates, these assets amount to between $5 billion and $8 billion.»

She noted that it is unlikely the United States will make a decision on confiscation on its own. To minimize risks, it is important that the G7 countries take this step together. That is why the US is now seeking to develop the European Union’s decision on the use of asset proceeds.

«The United States is now lobbying very hard and will submit a proposal to the G7 leaders’ summit in mid-June to provide Ukraine with a loan or issue bonds guaranteed by future income from frozen Russian assets. In other words, the EU’s position is to gradually give Ukraine the revenues it has already generated, 2-3 billion a year. And the US wants to give us a loan of $50 billion in advance, which will then be repaid from the profits», — explained Halushka.

As reported, on May 21, the Council of the European Union supported the use of profits from the frozen assets of the Russian Central Bank to help Ukraine.