EU pledges to loan Ukraine up to $39 billion to help rebuild its economy and power grid
The European Union is ready to lend Ukraine up to $39 billion as part of a loan package organized by the Group of Seven major industrial nations
KYIV, Ukraine — The European Union pledged on Friday to lend Ukraine up to 35 billion euros ($39 billion) as part of a loan package organized by the Group of Seven major industrial nations, as it seeks to help the country repair and reconnect its war-shattered power grid.
“You will decide how best to use your funds,” European Commission President Ursula von der Leyen told President Vlodymyr Zelenskyy in Kyiv. The Ukrainian leader said that his priorities are to rebuild the energy network, build more bomb shelters, improve schools and buy more weapons.
G7 leaders agreed in June to engineer a $50 billion loan to help Ukraine in its fight for survival. Interest earned on profits from Russia’s frozen central bank assets would be used as collateral, but progress has been slow in distributing the money.
Von der Leyen arrived in Ukraine on Friday focused on helping the country to restore its electricity grid and boost its heating capacity as winter approaches.
Around half of Ukraine’s energy infrastructure has been destroyed during the war with Russia, and rolling electricity blackouts leave parts of the east in darkness for four hours at a time. Von der Leyden said it was the equivalent of all of Latvia, Lithuania and Estonia losing electricity.
Meanwhile, winter is approaching.
“Heating season starts in two weeks and Russia’s relentless attacks on Ukraine’s civilian energy infrastructure aims to inflict maximum damage,” von der Leyen said as she arrived in Kyiv for talks with Zelenskyy. “We will help Ukraine in its brave efforts to overcome this.”
The main aim is to help Ukraine
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