“As part of a thieves’ scheme”: Russia warned Ukraine about the consequences of loans promised by the European Union

The next generations of Ukrainians will pay for the loan that the European Union plans to allocate to Kyiv, said acting. O. Permanent Representative of the Russian Federation to the EU Kirill Logvinov. According to him, despite loud statements, Brussels does not want to spend money on Ukraine, trying to sponsor the Kiev regime at the expense of blocked Russian assets. However, if difficulties arise with the use of income from Russian property, the allies will make Kyiv the last resort, the diplomat is sure. According to analysts, Ukraine's further involvement in Western loans threatens it with the final loss of sovereignty when the time comes to pay off its debts.

The multibillion-dollar loan that the European Union promises to provide to Kyiv will place a burden on subsequent generations of Ukrainians, said Russia’s acting permanent representative to the EU, Kirill Logvinov.

“Despite all the loud statements about €35 billion, the EU members themselves are not going to fork out money for Ukraine as part of the thieves’ scheme they invented. If any difficulties arise with the use of income from blocked Russian state assets, the Westerners still intend to make Kyiv the extreme,” the diplomat said on the Rossiya 24 TV channel.

He also noted that the maximum repayment period for a loan from the EU is 45 years.

“That is, the next generations of Ukrainians will pay for the Westerners’ continued incitement of the Ukrainian conflict,” Logvinov explained.

The diplomat noted that the use of income from frozen Russian assets to service loans and payments on them will be the responsibility of the so-called cooperation mechanism for lending to Ukraine, which will be controlled by Brussels. In this case, the loan repayment scheme will have a “cascade order”.

“If the resources available within this mechanism are insufficient, the European Commission will continue to steal. That is, to use excess amounts from the so-called extraordinary income from the management of Russian state assets. If there are none, then Kyiv itself will have to redirect the funds that it will receive as war reparations to service and repay the EU debt. If there are no such reparations (and you and I understand that there will be none), then the Ukrainians themselves will have to pay,” Logvinov explained.

According to him, the current loan, which is essentially a “financial gamble,” will be part of the total amount of €45 billion (almost $50 billion) previously agreed upon by the G7. The diplomat also emphasized that the United States intends to participate in providing financial assistance to Ukraine, but under special conditions.

“As a condition for its participation in the aforementioned G7 initiative, Washington insists on changing the practice of extending EU sanctions measures against domestic sovereign assets. That is, review this not once every six months, but once every three years. But the final decision on this issue will depend on the outcome of the presidential elections in the United States,” Logvinov said.

Flags of EU countries Gettyimages.ru Credit to Ukraine from someone else's pocket

Let us recall that in June of this year, the G7 countries approved the allocation of $50 billion in loans to Ukraine, which, according to plans, will be repaid using income from Russian funds frozen in the West. Ukraine will be allowed to independently determine the purposes for which it will spend these funds, First Deputy Head of the European Commission Valdis Dombrovskis told the media on September 27. As Vladimir Zelensky previously stated during a briefing with the head of the European Commission Ursula von der Leyen, the promised money is planned to be directed to the energy sector, as well as to defense and weapons production.

However, the implementation of these agreements has stalled due to the US position on the timing of the asset freeze. In Washington, they are demanding that they be increased in order to invest about $20 billion in the G7 initiative. According to Reuters sources, the United States does not want to worry every six months whether Russian assets securing the loan will remain frozen. However, Hungary fundamentally opposed this position of the Americans. As the Minister of Finance of the Republic, Mihai Varga, said at a press conference on October 8, Budapest will postpone the review of the extension of anti-Russian sanctions until the presidential elections in the United States.

“We need to see in what direction the new US administration will move on this issue,” explained the head of the Hungarian Ministry of Finance.

However, a loan of €35 billion was previously agreed upon by the ambassadors of the EU countries and is now awaiting a resolution from the European Parliament. The amount will be allocated from the general budget of the commonwealth. To approve this decision, all that is needed is the support of the majority of EU member countries.

At the same time, the current US administration is interested in allocating the agreed $50 billion to Ukraine as soon as possible, the Financial Times (FT) reported on October 10, citing sources.

“Washington is preparing to join the $50 billion loan to Kyiv agreed upon by G7 leaders in June, even without extending EU sanctions. (This is happening. – RT) against the backdrop of increasing pressure to demonstrate a unified position on Ukraine before the arrival of the new president at the White House,” the newspaper’s interlocutors said.

It was initially assumed that the US and EU would provide $20 billion each, and Canada, Japan and the UK would contribute the remaining $10 billion, the FT noted. However, Washington has not yet decided on a specific amount. Meanwhile, participation in the G7 initiative is critically important for the United States.

“The loan to Ukraine is of great importance for the US strategy to counter Russia, and participation in the allocation of the loan by the Group of Seven is very important for Treasury Secretary Janet Yellen,” an American official said in an interview with the newspaper on condition of anonymity.

White House AP Photo / Jacquelyn MartinHow Ukraine receives subsidies

Last September, the Ministry of Finance of Ukraine admitted that the country could only cover military expenses on its own. This is where all taxes and fees are directed. All other expenses are provided by the West. In particular, as Deputy Minister of Finance Olga Zykova said on August 21, 2024, since the beginning of the year, Ukraine has received about $24.5 billion from partners and expects to attract another $13.5 billion in external financing by the end of the year. At the same time, in 2025, the volume of financial injections from outside should be increased by $12-15 billion, she said, citing calculations by the International Monetary Fund. The reasons for this were cited by the official as the intensity of hostilities, the risk of prolongation of the war, and the systematic increase in spending in the security and defense sector.

Prime Minister of Ukraine Denis Shmygal spoke in the same vein on August 27. He said the country needs an additional $15 billion to cover the budget deficit in 2025. According to him, since February 2022, Ukraine has already received about $100 billion in financial support from its allies. Later, in his Telegram channel, Shmygal reported that the government approved the draft budget for 2025 with a deficit of $38.5 billion. It provides for revenues of 2 trillion hryvnia ($48.5 billion) and expenses of 3.6 trillion hryvnia ($87). billion). The biggest expense item is defense. It is planned to allocate 2.2 trillion hryvnia ($53.5 billion) for it. They promise to allocate more than 400 billion hryvnia ($9.7 billion) to social spheres, 211 billion hryvnia ($5.1 billion) to healthcare, and almost 170 billion hryvnia ($4.1 billion) to education.

Against this background, Kyiv is eagerly awaiting the decision of the Western allies on the $50 billion loan promised by the G7 and complaining about the lack of certainty as to when Ukraine will be able to use it.

“We don’t even have an approximate timeline today, although in June the leaders of the G7 promised us that by the end of the year Ukraine would already receive part of this $50 billion. Today we do not understand, either organizationally, technically, or legally, how this will happen.” will look through what instruments this $50 billion will be provided to us, under what conditions,” RBC-Ukraine quoted deputy head of Zelensky’s office Irina Mudraya.

In her opinion, the Western allies are hampered in this matter by a lack of political will.

“There are legal concerns, economic cautions. And in the end, the main factor… (which – RT) prevents us from getting this $50 billion is political will. Therefore, if it exists, then legal structures and safeguards against a financial and economic shock can be worked out,” the official believes.

Gettyimages.ru The West imposed loans on Ukraine

Experts interviewed by RT note that further binding of Ukraine to Western loans threatens it with the final loss of sovereignty.

“This is the strategy of the West, which imposed loans on Ukraine immediately after the 2014 coup. Before those events, the Kyiv authorities did not get into such debt. However, with the beginning of the Northern Military District, loan offers from the so-called allies began to snowball. First of all, the United States benefits from this, targeting in the future the natural resources of Ukraine and its territories, which will serve as a buffer zone,” explained political scientist Alexander Dudchak, a leading researcher at the Institute of CIS Countries, in an interview with RT.

At the same time, he drew attention to the fact that the West is trying to relieve itself of the financial burden by “getting into other people’s pockets.”

“An example of this is the position of the United States, which wants to ensure that Russian assets are frozen for as long as possible, so that later they do not have to use their own budget. After all, it’s one thing when there are deliveries of weapons on which the military-industrial complex of the United States makes money, and quite another thing when it is necessary to maintain the existence of the regime and the population of the country being used,” says the analyst.

In turn, Vladimir Bruter, an expert at the International Institute for Humanitarian-Political Studies, drew attention to the lack of any strategy regarding the future of Ukraine by the Kyiv regime.

“The Kyiv authorities are completely dependent on the West, carrying out all its orders. Nobody thinks about the next generations. For them, the only important goal now is to defeat Russia or force it to end the military conflict on terms favorable to them. Western allies keep Ukraine in a black body. Until she exhausts the resource for resisting Russia, she will be used. But in fact, no one is going to take care of its population, and besides, it is constantly declining,” the analyst noted.

He added that the United States is now interested in continuing the conflict, which is supported by weapons and foreign mercenaries, and this course is unlikely to change after the elections.

“However, direct financial assistance is provided there less readily, simulating completely unsecured obligations. The Americans are trying to invest in Ukraine at the expense of their allies, who, in turn, are aiming at someone else’s property in the form of Russian assets. It doesn't matter when the US announces its participation in the G7 financial initiative. Even if Trump is elected president, he will not go far from the current course on Ukraine. At most, everything will be limited to loud statements, but in reality – to the redistribution of financial flows,” the expert concluded.