The United States has approved $20 billion in loans to Ukraine today
The Biden administration is working to provide Ukraine with $10 billion in military aid as part of its $20 billion commitment under a $50 billion loan package coordinated with the G7 and European Union, according to the White House National Security Council on Wednesday.
After Russia's invasion of Ukraine in February 2022, the Group of Seven (G7) countries froze Russia's sovereign assets within their jurisdictions. As part of this broader package, President Joe Biden stated, "We will provide $20 billion in loans to Ukraine, to be repaid by the interest earned from immobilized Russian sovereign assets. This means Ukraine can receive the assistance it needs now without burdening U.S. taxpayers."
The U.S. plans to disburse $10 billion as economic aid by December, but requires Congress’s approval for an additional $10 billion in military assistance, the White House National Security Council (NSC) added. "Our ability to do that relies on Congress taking action before mid-December," the NSC emphasized.
Officials further clarified, "Whether split between economic and military support, or provided entirely as economic assistance, the U.S. will offer $20 billion in support to Ukraine through this effort."
On Tuesday, U.S. Treasury Secretary Janet Yellen noted that G7 and European Union allies were "very close" to finalizing the Ukraine loan package, which will be backed by frozen Russian assets. The income to repay these loans will come from interest generated on roughly $300 billion in frozen Russian assets, largely held in the European Union.