WASHINGTON, Oct 23 - The Biden administration is working to provide Ukraine with $10 billion in military aid, part of a broader $20 billion commitment as part of a $50 billion loan arrangement coordinated with G7 and European Union partners. The White House National Security Council announced that the U.S. plans to distribute $10 billion by December as economic aid, pending congressional approval for an additional $10 billion in military assistance.
The National Security Council emphasized that the disbursement relies on congressional action before mid-December. Regardless of the split between economic and military support, the U.S. will ensure $20 billion in aid to Ukraine.
U.S. Treasury Secretary Janet Yellen indicated that G7 and EU allies are nearing the finalization of their overall loan commitments to Ukraine, which will be secured by frozen Russian assets. The funds for repaying these loans will come from interest earned on approximately $300 billion in frozen Russian assets, primarily held in the European Union.
During the International Monetary Fund and World Bank annual meetings, Yellen expressed confidence that the immobilization of Russian sovereign assets would persist, despite EU requirements for biannual renewals of the freeze. The EU has also committed to lending Ukraine at least $20 billion, providing incentives to maintain the freeze until full repayment is achieved.
The National Security Council noted that the U.S. might transfer the entire $20 billion share of the loan to the World Bank Trust Fund by December. The White House is expected to continue discussions with Congress in the coming weeks. Additionally, the U.S. will sign loan agreements with Ukraine to facilitate fund disbursement before the year's end, with more details anticipated after the G7 finance ministers' meeting concludes.