Germany, France, and Italy to act as guarantors for Ukraine’s loan from frozen Russian assets
The European Commission plans to involve Germany, France, and Italy as the main guarantors of an emergency loan for Ukraine totaling 210 billion euros. The funds will be provided from frozen Russian assets.
As reported by Politico, the majority of the frozen Russian assets, approximately 185 billion euros, are held in the Brussels-based Euroclear depository, while 25 billion euros are placed in private bank accounts in various EU countries. The European Commission has identified Germany, France, and Italy as key players in providing the loan to Ukraine, as their obligations are calculated based on the gross national income of these countries.
Germany, in particular, will take on the largest share of 51.3 billion euros, France will provide funding amounting to 34 billion euros, and Italy’s share will be 25.1 billion euros. Fulfilling these commitments requires the support of all member countries and the approval of Belgian Prime Minister Bart De Wever.
Recall that Hungary previously blocked a decision to issue eurobonds to finance Ukraine. This decision was considered by the European Commission as an alternative to directly using the frozen Russian assets to provide a loan to Ukraine amounting to 165 billion euros. The overall support of EU countries is crucial for the implementation of this plan.
| Country | Amount (billion euros) |
|---|---|
| Germany | 51.3 |
| France | 34 |
| Italy | 25.1 |
| Other sources | 99.6 |
