Ukraine receives first tranche of £752 million ($970 million) from UK, secured by proceeds from frozen Russian assets.
This was reported by Prime Minister Denys Shmyhal.
The money came as part of a G7 initiative called the Extraordinary Revenue Acceleration for Ukraine (ERA) totaling $50 billion. It is a 30-year loan that will be repaid with future profits from frozen Russian assets.
Money from the ERA mechanism will go to strengthen Ukraineʼs defense capabilities, in particular, to purchase weapons.
Thanks to the Extraordinary Revenue Acceleration for Ukraine mechanism, Ukraine has already received over $1 billion and €3 billion from European Union countries.
The other day, Ukraine and Britain signed a loan agreement for £2.26 billion ($3 billion) as part of the ERA mechanism.
Frozen Russian assets
The value of frozen Russian sovereign assets in the EU is almost €211 billion. In total, the European Union, the G7 countries and Australia have frozen approximately €260 billion in securities and cash.
On October 23, the EU Council finally approved a loan of up to €35 billion to Ukraine. The money is the blocʼs contribution to the G7 initiative to provide Ukraine with a $50 billion (€45 billion) loan, which will be repaid with the proceeds from frozen Russian assets.
And on October 26, the G7 countries agreed to a $50 billion loan for Ukraine using the proceeds from Russiaʼs frozen assets.
The funds will be transferred "through various channels" — both to replenish the Ukrainian budget, and for military assistance and the restoration of Ukraineʼs infrastructure.
For more news and in-depth stories from Ukraine please follow us on X.