G7 aims to use frozen Russian assets to help 'desperate' Ukraine

[BumRushDaShow]

Source: Reuters

May 25, 2024 11:09 AM EDT Updated an hour ago


STRESA, Italy May 25 (Reuters) - The G7 will explore ways to use the future income from frozen Russian assets to boost funding for war-torn Ukraine, finance chiefs from the Group of Seven industrial democracies said on Saturday, but offered no details of how to do so. The G7 and its allies froze some $300 billion of Russian financial assets, such as major currencies and government bonds shortly after Moscow invaded its neighbour in February 2022.

"We are making progress in our discussions on potential avenues to bring forward the extraordinary profits stemming from immobilized Russian sovereign assets to the benefit of Ukraine," the G7 said at the end of a two-day meeting in northern Italy.
Financing for Ukraine and meeting China's growing export strength were the main themes addressed in comments from finance ministers during the gathering in the lakeside town of Stresa.

The United States has been pushing its G7 partners - Japan, Germany, France, Britain, Italy and Canada - to back a loan that could provide Kyiv with as much as $50 billion in the near term.

However, the cautious wording of the statement, containing no figures or details, reflects many legal and technical aspects which need hammering out before such a loan could be issued. The issue will now be discussed by G7 leaders at a summit in southern Italy in mid-June. "We are not yet ready to find further and clear measures to finance Ukraine, but this is now a topic of intensive work," German Finance Minister Christian Lindner told reporters.

Read more: https://www.reuters.com/world/g7-will-try-use-frozen-russian-assets-help-ukraine-2024-05-25/

[FirefighterJo]

1. Ukraine

Is desperate since Russia invaded them or how would you feel with an army over 50000 breathing down your neck... desperate yes. 'Desperate' no. Strong skillfull and patriotic, desperately keeping those rusky lice away

[erronis]

2. This sounds a bit mealy-mouthed. "Future revenues from frozen assets"?

So UKR will get any interest or rents from these $300BN at some to-be-determined rate (3%?).

Why not start by liquidating the assets and giving UKR 20% every year until the $300BN is gone, gone, gone.

[BumRushDaShow]

3. 'Cause many of them

are still dependent on Russian oil and gas (and other commodities).

They have been in the process of trying to undo 30 years worth of intertwining their trade and economic policies with Russia, much of it put in place post-Gorbachev & more specifically, post-Yeltsin.

[Turbineguy]

4. Claw back Putin's ill-gotten wealth.