WASHINGTON: G7 leaders have finalized details surrounding a $50 billion loan to aid Kyiv, backed by profits from Russian sovereign assets frozen after its invasion of Ukraine, according to a statement released Friday.
Leaders of the Group of Seven wealthy democracies said they “have reached a consensus on how to deliver” the loans of approximately $50 billion, with an aim to start disbursing funds by the end of this year.
“The loan proceeds will be disbursed through multiple channels to support Ukraine’s budgetary, military and reconstruction assistance,” G7 leaders added.
Their announcement came as world financial leaders gathered in Washington this week for meetings hosted by the International Monetary Fund and World Bank.
Finance ministers have “agreed on a technical solution ensuring consistency, coordination, fair distribution of lending, and solidarity among all G7 partners,” the statement said.
“We will not tire in our resolve to give Ukraine the support it needs to prevail,” the leaders added.
They called on Moscow to end its war and pay for damage caused to Ukraine.
This week, US President Joe Biden said that as part of the G7 package, the United States would provide $20 billion in loans to Ukraine, to be paid back by the interest earned from immobilized Russian sovereign assets.
This is aimed at supporting Ukraine now, “without burdening taxpayers.”
“Our efforts make it clear: tyrants will be responsible for the damages they cause,” Biden said.
US Treasury Secretary Janet Yellen signed a statement Wednesday with her Ukrainian counterpart Sergii Marchenko marking their intent to enter into the loan.
The move also committed that new United States or Ukrainian tax dollars would not be the source of repayment.
Economic concerns remain top-of-mind for US voters, with just over a week to go before the country’s presidential election on November 5.
Washington aims to provide at least $10 billion of the loans for economic support, with the other half expected to take the form of military aid.
But this will require additional authorization from Congress.
The remaining $30 billion in loans is set to come from a combination of G7 partners, including the European Union, United Kingdom, Canada and Japan, US officials said.
The EU, which has frozen roughly $235 billion of Russian central bank funds — the vast bulk of immobilized Russian assets worldwide — said it would contribute approximately EUR18 billion ($19.4 billion).
“Russia must end its illegal war of aggression and pay for the damage it has caused,” the 27-nation bloc’s chief, Ursula von der Leyen, said in a statement.
“We’re steadfast in our solidarity with Ukraine’s fight for freedom.”
Implementation of the G7 loan suffered from delays as the United States had sought guarantees from the EU that the Russian assets would remain frozen.
“We have once again made clear our unwavering commitment to stand by Ukraine for as long as it takes,” said the G7 statement on Friday.
“Time is not on President (Vladimir) Putin’s side.”
G7 finalize $50bn Ukraine loan backed by Russian assets profits
https://arab.news/6788m
G7 finalize $50bn Ukraine loan backed by Russian assets profits
- G7: ‘The loan proceeds will be disbursed through multiple channels to support Ukraine’s budgetary, military and reconstruction assistance’
- G7 finance ministers called on Moscow to end its war and pay for damage caused to Ukraine
India’s new budget bets on AI, data centers to sustain growth
- Budget features new Bharat‑VISTAAR AI‑powered platform for agriculture sector
- It also includes tax holiday until 2047 for foreign companies using Indian data centers
NEW DELHI: India’s latest budget has emerged as one of its most technology-focused, with new measures to utilize artificial intelligence, semiconductor manufacturing, and expand digital infrastructure aimed at offsetting the impact of global tariff wars.
Finance Minister Nirmala Sitharaman presented the 2026-27 budget in parliament on Sunday, saying it would “accelerate and sustain economic growth by enhancing productivity and competitiveness” at a time when India was facing “an external environment in which trade and multilateralism are imperiled and access to resources and supply chains are disrupted.”
New Delhi has yet to secure a trade deal with its largest trading partner, the US, which last year hit it with punitive tariffs of up to 50 percent over India’s purchases of Russian oil. To mitigate their impact, India has been looking for alternative agreements, including last week’s agreement with the EU, cutting duty on 99.5 percent of Indian exports to the bloc.
The new budget prioritizes infrastructure and domestic manufacturing, with a total expenditure estimated at $583 billion.
It offers tariff concessions for products from the marine, leather, and textile industries — all of which have been affected by US tariffs — and provides duty exemptions on materials and goods used to process rare-earth minerals, make lithium ion batteries, solar glass, and components for electric vehicles.
The finance minister also announced doubled spending for semiconductor manufacturing to $4.8 billion and a tax holiday until 2047 for foreign companies providing cloud services using Indian data centers.
The budget also features Bharat‑VISTAAR (Virtually Integrated System to Access Agricultural Resources), a multilingual AI‑powered platform for the agriculture sector to give farmers customized, real‑time advisory on crop management, weather, soil conditions and government schemes in different Indian languages.
“There is a lot of focus on AI and technology. It is to achieve the ambitious target India has already declared — Viksit Bharat 2047. It is very clear that without technology, it would be difficult to achieve that target,” Prof. Pardeep S. Chauhan, Centre for Economic Studies and Planning, Jawaharlal Nehru University, told Arab News, referring to the government’s plan to transform the nation into a fully developed country by 2047 — the 100th anniversary of its independence.
“That was the need of the hour, and the government has taken care of it, focusing on semiconductors, AI, and rare-earth minerals.”
The technology focus also comes against the backdrop of China’s dominance in the global critical minerals supply chains, and last year’s restrictions imposed by Beijing in the wake of escalating trade tensions with the US.
“India lags far behind the US and China, particularly China,” Chauhan said. “India has taken this move to maybe after five, 10, 15 years ... compete up to some extent. Without technology, nobody can think of establishing (their) leadership — whether it’s in the economy, defense or financial infrastructure architecture. Everywhere you need technology.”
