At the G7 summit in Italy, the member countries agreed on a plan to give Ukraine a $50 billion loan to help it buy weapons and begin to rebuild damaged infrastructure.
The new loan comes at a crucial moment in the war, when Russia has the momentum on the battlefield.
The loan is expected to be repaid using interest earned on nearly $300 billion in frozen Russian assets, which are mostly in European banks. Janet Yellen, the U.S. Treasury secretary, explained how the loan will work.
President Biden also signed a 10-year security pact with Ukraine’s government, to show a long-term U.S. commitment to the country. It’s designed to be a bridge to Ukraine’s membership in NATO.
Japan signed a 10-year security agreement with Ukraine as well, which included a pledge of $4.5 billion.
Separately, NATO’s defense chiefs gathered yesterday in Brussels to pledge additional weapons to Kyiv. They also met to prepare long-term military commitments to be announced next month at a summit in Washington. One boost for Ukraine: an agreement that Hungary would not contribute to the military alliance’s war effort — but also would not block it.
Biden’s angle: The security agreement is the president’s latest effort to persuade allies that the U.S. will continue backing Ukraine even if Donald Trump wins the presidency this fall. But the agreement could prove fleeting — it contains a provision that allows either side to terminate it with six months’ notice.
More on the G7: Most leaders arrived at the summit beleaguered, embattled or endangered. Many of them are facing elections that may weaken their positions.
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