Ukraine Scores $3B Loan from UK, Funded by Frozen Russian Assets

Ukraine is about to get a significant boost with a $3 billion loan from the United Kingdom. The interesting part? This money comes from profits made on frozen Russian assets. Here's how it all unfolds. When Russia invaded Ukraine, G7 countries froze around $280 billion of Russian central bank assets. These assets, mostly held in Europe, are expected to generate about $3-5 billion each year. The UK has decided to use some of these profits to support Ukraine. The loan, announced by Chancellor Rachel Reeves and Defense Secretary John Healey, will help Ukraine buy crucial military equipment. It's part of a larger $50 billion package from G7 nations and the EU. The EU and the US are each contributing around $20 billion, with Canada, Japan, and the UK making up the rest. The loan is a unique way to fight back against Russia. As Defense Secretary Healey put it, "It's turning the proceeds of Putin's own corrupt regime against him. " Ukraine gets to decide what equipment they need the most. Ukraine is desperate for more financial support as winter approaches and Russia continues its aggression. Other G7 partners are expected to confirm their pledges soon. The UK has already committed over $16. 6 billion in military, economic, and humanitarian support to Ukraine. Training Ukrainian personnel is also a big part of the UK's support. More than 45, 000 personnel have been trained in the UK under Operation INTERFLEX, which has been extended until at least the end of 2025. The UK has sent various military capabilities to Ukraine, including 650 Lightweight Multirole Missile systems.