"Today, we, the Leaders of the Group of Seven (G7), have reached a consensus on how to deliver approximately $50 billion in Extraordinary Revenue Acceleration (ERA) loans to Ukraine," said the announcement posted on the Italian government's website.
The statement specifies that the G7's loans to Ukraine will be repaid using revenues from Russia's frozen assets.
"These loans will be serviced and repaid by future flows of extraordinary revenues stemming from the immobilization of Russian Sovereign Assets, in line with the respective legal systems of G7 countries and international law... Our aim is to begin disbursing the funds by the end of the year," the statement added.
The loans to Ukraine will be fully disbursed from December 2024 to December 31, 2027, with the principal and interest paid from proceeds from Russia's frozen assets, according to the statement.
"The ERA Loan initiative will disburse approximately USD 50 billion (EUR 45 billion) for the benefit of Ukraine. Principal and interest will be repaid by extraordinary revenues stemming from the immobilisation of Russian sovereign assets (RSA) held in European Union (EU) jurisdictions, and possibly in other G7 countries, in line with our respective legal systems and international law, and by any other voluntary contributions," the agreement said.
The ministers propose each bilateral loan to enter into force no later than June 30, 2025.
Moscow has repeatedly stated that any attempts to confiscate its frozen assets amount to theft, violate international law, and will not go unpunished. Kremlin spokesman Dmitry Peskov told Sputnik that Russia would do everything possible to recover the seized assets.