Historic step and clear signal to Putin – Scholz on US$50 billion agreement for Ukraine

German Chancellor Olaf Scholz is convinced that the G7 plans to provide Ukraine with approximately US$50 billion in financial support, using frozen Russian assets, have been a clear signal to Kremlin leader Vladimir Putin.

"This is a very clear commitment that should embolden the Ukrainians to do what they need to to defend their independence and sovereignty.

And it is also a clear signal to the Russian President, that he can’t just sit this out and hope that fiscal problems in a country that backs Ukraine will one day let him win this war," Reuters quotes Scholz.

Scholz said Putin was mistaken in thinking that international support for Ukraine would diminish over time. 

"This is a very historic step we're taking today," he emphasised.

The G7 plan for Ukraine, announced on Thursday, 13 June, by Italian Prime Minister Giorgia Meloni is based on providing Kyiv with a long-term loan using the proceeds from about US$300 billion of confiscated Russian assets. 

Earlier, the Élysée Palace reported that the leaders of the G7 member states reached an agreement.