European Commission preparing proposal for loan to Kyiv guaranteed by EU funds

The European Commission is preparing a proposal for a loan to Ukraine of 50 billion euros, to be repaid using Russia’s frozen assets and guaranteed by the EU budget, EU Commissioner Paolo Gentiloni said before a meeting of the EU Council on Economics and Finance, Report informs.

The loan will be discussed at the meeting of G7 finance ministers in Rio de Janeiro. The Commission aims to complete the process by the end of the year while EU budget guarantees remain in place.

“But the opportunity to use this reserve as guarantees remains only until the end of this year. Therefore, we need to complete the entire process, including tripartite coordination and legislative approval - with the participation of the European Parliament - before the end of this year. Therefore, it is urgently necessary to start this process,” he explained.