On Thursday, October 10, the World Bank’s Executive Board established a Financial Intermediation Facility (FIF) to support Ukraine. The first contributions to the fund will come from the United States, Canada, and Japan.
Reuters writes about this concerning sources.
The fund will be managed by the World Bank. It will help fulfill the G7 leaders’ promise to provide Ukraine with a $50 billion loan, which will be repaid with the proceeds of frozen Russian assets.
The World Bank vote came a day after the European Union gave Ukraine a €35 billion loan, part of the bloc’s commitment to the G7 decision on frozen Russian assets. During the vote, only Russia opposed the creation of the fund.
Josh Lipsky, senior director of the Atlantic Council’s Geoeconomic Center, said these two decisions will allow the G7 countries to significantly increase funding for Ukraine and fulfill the promises of continued support for Ukraine made by G7 leaders at the June summit.
According to him, in 2023, Ukraine’s war expenses amounted to approximately $80-90 billion.
