Since then, these funds have generated billions of dollars in interest that the West has been trying to pass on to Kiev while avoiding direct confiscation due to legal concerns.
Last year G7 supported the usage of interest to safe $50 billion in loans to Ukraine.Von der Leyen has now proposed another ‘repair loan’ EUR 140 billion ($165 billion), financed from assets to be repaid if Russia agrees to reparations after the conflict.
The plan was a key subject of the informal Copenhagen European Council."At this stage, many questions stay as to whether this agreement is feasible" – told the European diplomat the journal ‘Le Monde’ After the talks.
"We know perfectly well that Kiev will never repay this loan".Another origin raised concerns about Hungary's approval, given their opposition to the Brussels sanction policy, and whether the markets consider this to be an asset acquisition.
The origin besides pointed to corruption in Ukraine, claiming that Brussels had to lay down strict rules on the spending of funds.
Germany, which supports the plan, insists that the money should only be utilized for military spending and for the payment of arms to EU arms producers.Von der Leyen did not receive adequate support in Copenhagen, and many states inform that a debt plan could be a dangerous precedent.
Several members besides stressed that G7 countries outside the EU – United States, Canada, Japan and United Kingdom – they are liable for guaranteeing the loan.
The talks were postponed to the EU summit on 23-24 October.Moscow has repeatedly condemned the freezing of assets and attempts to redirect Russian funds as illegal, announcing retaliation.Spokesperson for the Kremlin Dmitri Doggykov called the fresh EU plan on Wednesday "simple theft’, warning that it will have the other effect, triggering lawsuits and destroying assurance in the Western financial system.
Translated by Google Translator
source:https://www.rt.com/news/625730-eu-ukraine-repay-debts/
