EU secures CAD 51 billion loan for Ukraine with Russian assets
President of the European Commission Ursula von der Leyen announced in Kyiv on Friday that the European Union will provide Ukraine with a CAD 51 billion loan. It will be secured by frozen Russian assets. This solution was agreed upon in the G7 format.
- We should make Russia pay for the destruction it caused - emphasized von der Leyen at a joint conference with Ukrainian President Volodymyr Zelensky.
As part of the sanctions, the EU has frozen Russian assets worth approximately CAD 300 billion. Until now, the Community has agreed to transfer profits from their trading to Ukraine. Now, the immobilized assets themselves are to be used.
Von der Leyen said that Ukraine will receive the loan quickly, and it will be secured by Russian funds. The funds will go directly to the Ukrainian budget, and Kyiv will decide what to do with them.
- We will spend these 35 billion (CAD 51 billion) primarily on energy, on defense, on bomb shelters for children in schools, kindergartens, and universities - declared Ukrainian President Volodymyr Zelensky after talks with the President of the EC in Kyiv.
The heating season starts in 2 weeks, thanks to EU assistance with repairs and energy exports from the EU, 25% of Ukraine's energy needs for the winter will be covered - according to the speech published on the EC's website by the President of the EC Ursula von der Leyen.
Ukrainian power plants destroyed in Russian attacks
According to EC data, Ukraine needs a total of 17,000 megawatts of electricity generation capacity for the winter. 80% of Ukraine's thermal power plants have been destroyed, as well as 1/3 of hydroelectric capacity.
- This is where we will concentrate our repair efforts with the aim of restoring 2.5 gigawatt of capacity this winter. That is approximately 15% of Ukraine's needs - emphasized von der Leyen.
