Ukraine received $690 million under the G7 mechanism using proceeds from Russian assets
Kyiv • UNN
Ukraine received a grant of $690 million from Japan and Canada under the G7's ERA mechanism. The funds will be used to finance priority expenditures, including pensions and social programs.
Ukraine has received a grant from Japan and Canada totaling $690 million within the framework of the G7 ERA mechanism, the Ministry of Finance announced on Monday, UNN reports.
Ukraine received a grant of $690 million from Japan and Canada. The funds were provided within the framework of the G7 ERA mechanism through the World Bank's PEACE in Ukraine program.
This is the first tranche from Japan ($544 million) and the last tranche from Canada ($146 million) within the G7's Extraordinary Revenue Acceleration for Ukraine mechanism, totaling $50 billion.
Additionally, a grant of $0.8 million was attracted from the Multi-Donor Trust Fund of the PEACE in Ukraine project.
"The funds will be directed to finance priority state expenditures, including pension payments and social support programs for the population, including housing and utility subsidies," the Ministry of Finance reported.
"I am grateful to the World Bank, as well as the Governments of Japan and Canada, for the grant support provided. Thanks to the assistance of partners, we ensure the macro-financial stability of the state and the financing of key expenditures. Since 2022, Japan has provided Ukraine with $9.5 billion in budget assistance, and Canada has provided almost $9 billion in direct budget support," said Ukrainian Finance Minister Serhiy Marchenko.
For reference
The G7's Extraordinary Revenue Acceleration for Ukraine (ERA) mechanism provides $50 billion for Ukraine, funded by profits generated from immobilized Russian sovereign assets.