The European Union has committed to providing Ukraine with a substantial financial lifeline, agreeing on a €90 billion interest-free loan to support the country through the next two years. This financial backing is crucial for Ukraine, especially as it faces ongoing conflict with Russia. The loan, aimed at covering military expenses and budgetary needs, will be secured against the EU's common budget. Despite initial plans, the EU opted not to use immobilized Russian assets to finance the loan, following concerns from member states like France and Italy regarding the complexity of such a move.
This decision was reached after extensive discussions among EU leaders at the Brussels summit. The agreement reflects the EU's solidarity with Ukraine and its strategic decision to maintain frozen Russian assets until reparations for the war are addressed. Ukrainian President Volodymyr Zelenskyy welcomed the support, emphasizing its importance in bolstering Ukraine's resilience. Meanwhile, the summit also touched on other significant agreements, including a delayed signing of the Mercosur pact and the appointment of Barham Salih as the new UNHCR chief.
