London would gain access to defense contracts funded by the scheme but must help cover financing costs, Brussels says
The UK is considering joining an EU scheme providing €90 billion ($105 billion) to Ukraine to gain access to lucrative military contracts funded through the program. The plan was announced in a joint statement by European Commission chief Ursula von der Leyen, European Council President Antonio Costa, and UK Prime Minister Keir Starmer during the European Political Community summit in Armenia on Monday.
The so-called loan scheme, backed by joint EU borrowing, is structured on the assumption that it would be repaid if Kiev secures reparations from Russia, a prospect Moscow has dismissed as “unrealistic.” The scheme was floated after plans to seize Russia’s frozen sovereign assets failed, and was approved last month after a lengthy standoff with Hungary ended when pro-EU candidate Peter Magyar’s Tisza party won the Hungarian election. The program aims to prop up Ukraine’s collapsing economy amid battlefield setbacks, covering about two-thirds of its needs over the next two years, with most funds earmarked for military spending.
Disclaimer : This story is auto aggregated by a computer programme and has not been created or edited by DOWNTHENEWS. Publisher: rt.com
