"Reparations loan" will provide Ukraine with weapons for three years – French Foreign Minister Barrot
Loans backed by frozen Russian assets will help Ukraine purchase weapons for at least three years. The European Commission plans to approve the "reparations loan" by the end of 2025.
According to Censor.NET, citing European Pravda, French Foreign Minister Jean-Noël Barrot announced this on the sidelines of the EU Foreign Affairs Council meeting in Luxembourg on October 20.
Three years of defense funded by reparations
The "reparations loans" from the European Commission will allow Kyiv to continue defending itself for at least three more years.
"In the coming weeks, we will give Ukraine the ability to defend itself for at least three years thanks to a loan provided by the European Commission, which will later be repaid using the reparations that Russia will pay to Ukraine," Barrot said.
A loan for the purchase of weapons
He clarified that "this loan will allow Ukraine to purchase weapons for its defence".
"And, in particular, of course, European weapons," the French minister said.
As a reminder, the EU is considering using part of a potential €140 billion "reparations loan" secured by Russia's frozen assets to purchase US weapons for Ukraine.
What is a reparations loan?
A reparations loan or credit is a new financial instrument that is currently being actively discussed in the EU and G7 countries as a mechanism to help Ukraine by using frozen Russian assets.
The main source of funds is about $300 billion of Russian state assets frozen around the world (about $200 billion of them in the EU).
The EU is considering an option where the profits from these assets (about €3-5 billion annually) will be used to service the debt (i.e., to cover interest payments and partially repay the principal).
