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[brwo349] 14/6/2024 06:21

G7 agrees $50bn loan for Ukraine from Russian assets
7 hours ago By Jaroslav Lukiv, BBC News
Jean Mackenzie

The G7 has agreed to use frozen Russian assets to raise $50bn (£39bn) for Ukraine to help it fight invading Russian forces.

US President Joe Biden said it was another reminder to Russia "that we're not backing down", but Moscow has threatened "extremely painful" retaliatory measures.

The money is not expected to arrive until the end of the year but is seen as a longer-term solution to support Ukraine's war effort and economy.

Also at the G7 summit in Italy, Ukrainian President Volodymyr Zelensky and Mr Biden signed a 10-year bilateral security deal between Ukraine and the US, hailed by Kyiv as "historic".

The agreement envisages US military and training aid to Ukraine - but it does not commit Washington to send troops to fight for its ally.

Some $325bn worth of assets were frozen by the G7, alongside the EU, following Russia's full-scale invasion of Ukraine in 2022.

The pot of assets is generating about $3bn a year in interest.

Under the G7 plan, that $3bn will be used to pay off the annual interest on the $50bn loan for the Ukrainians, taken out on the international markets.

Speaking at a joint news conference at the summit's venue in Puglia, southern Italy, President Biden said the $50bn loan would "put that money to work for Ukraine and send another reminder to [Russian President Vladimir] Putin that we're not backing down".

The US leader stressed that Mr Putin "cannot wait us out, he cannot divide us, and we'll be with Ukraine until they prevail in this war".

President Zelensky thanked his American and other allies for their unwavering support.

And referring to the new security deal, he said: "It's a truly historic day and we have signed the strongest agreement within Ukraine and the US since our independence [in 1991]".

The G7 group of rich nations, Canada, France, Germany, Italy, Japan, the UK and US, have been important financial and military supporters of Ukraine as it battles to contain occupying Russian forces.

Other G7 leaders also hailed the $50bn loan deal, with UK Prime Minister Rishi Sunak describing it as "game changing".

The $50bn loan is a sizeable pot of money, when compared with the $61bn worth of US military aid that was finally agreed in May.

[loganair] 13/6/2024 10:19

The price of shares of the Moscow Exchange, Sberbank, and VTB decreased at the opening of trading on the Moscow Exchange against the backdrop of sanctions news.


The price of ordinary shares of Sber (JEMA's 3rd largest Russian holding) - fell by 4.3% to 304.14 rubles.

[loganair] 13/6/2024 10:09

On Wednesday, the US Treasury’s Office of Foreign Assets Control (OFAC) added the Moscow Exchange (MOEX) and its affiliate, the National Settlement Depository (NSD), to its Specially Designated Nationals List (SDN). The Arctic LNG 2 and 3 projects, Gazprom Invest, the Sogaz insurance company, the all-Russian Movement of the First as well as seven Russian LNG carriers and the National Clearing Center (NCC) were also blacklisted.

The latest US sanctions will hit MOEX and the NCC hardest. The latter operates as a clearing organization and the central counterparty on the Russian financial market. MOEX has already announced that it will stop trading in dollars and euros starting on June 13. It will run all other operations as normal.

Over-the-counter transactions with the dollar and the euro will continue, the Central Bank of Russia said. The regulator will use banks’ reporting and data from digital OTC platforms to set the official dollar and euro exchange rates.

Investors’ FX assets with the NCC will be frozen, Anton Imennov, a senior partner with Pen & Paper, told Izvestia.

For the time being, brokers will no longer be able to trade the currencies of unfriendly economies, Dmitry Lesnov, the head of client services at Finam, explained. Nor will the euro be available for trading, he said. He couldn’t say how the situation will affect brokerages.

While the move poses no threat to the liquidity of securities issued by Russian companies, the FX market turbulence will lead to higher import costs in the long term, spurring inflation, independent expert Andrey Barkhota said.

As regards the Russian oil and gas sector, all of Novatek’s future projects as well as tankers being built at the Zvezda shipyard for LNG shipments under the Arctic LNG 2 project as well as the Koulstar group and the Elga Coal Complex were designated.

Independent expert Alexander Sobko told Kommersant that now any Russian LNG project risks being sanctioned, too. And the Arctic LNG 2 project will serve as a "role model" for the entire Russian LNG industry, he added, as the future of other projects will depend on how the situation around it unfolds.

An official in the coal industry told Kommersant that Russian coal producers have diversified to Asian markets and that "settlement issues will be solved 'on a rolling basis.'"

[loganair] 11/6/2024 22:45

Russia became second biggest supplier of liquefied natural gas (LNG) to Spain in May, according to the data published by the Spanish energy company Enagas. According to the Enagas data, in May, Spain purchased the equivalent of 6,416 GWh of LNG from Russia

In the first five months of 2024, Madrid purchased 33,269 GWh of gas from Russia, second only to Algeria.

Enagas reported that Spain purchased 72,690 GWh of Russian LNG in 2023, up from 53,859 GWh in 2022. Based on the results of the entire last year, Russia was the third biggest gas supplier to the kingdom.

Using existing storage and re-gasification capacities, Spain is actively re-exporting part of its gas to other European countries.

[loganair] 11/6/2024 22:36

Russia’s foreign trade surplus in January-April up by 18.8% to $50.5 bln.

Exports to European countries fell by almost 40%, amounting to $21 billion, imports decreased by 19.2%, to $22.2 billion.

In the reporting period, Russia increased exports to Asian countries by 11% to $101.4 billion, imports from these countries decreased by 3% to $56.6 billion.

Exports to African countries increased by 32% to $7.8 billion, while imports decreased by 4.5%, to $1.1 billion.

Russian exports to the countries of North and South America increased by 39.6% to $4.8 billion, imports from these countries decreased by 18.9% to $4.5 billion.

[1917again] 05/6/2024 17:27

US seeks EU sanctions guarantee to back $50bn Ukraine loan

Washington needs Russian assets held in Europe to be frozen indefinitely to support fresh finance for Kyiv

© FT montage/Getty Images


Paola Tamma and Henry Foy in Brussels and James Politi and Claire Jones in Washington13 hours ago


The US is ready to lead a loan of $50bn to Ukraine repaid by profits from frozen Russian assets if the EU can indefinitely extend sanctions against Moscow, according to a leaked discussion paper.

Washington needs the EU to prolong the bloc’s sanctions on Russian state assets, which expire every six months unless renewed by unanimous consent, until the end of the war to ensure the US is not left on the hook for repayments.

[loganair] 04/6/2024 12:38

BBC Russian Service - Middle 2 weeks of May Russia lost 1,396 men = 100 per day which is up from 79 per day for the preceding 2 weeks.

[1917again] 04/6/2024 11:07

China only willing to buy Russian gas at a loss price

Russia’s efforts to reach a significant gas pipeline deal with China have hit a serious problem due to disagreements over prices and the amount of gas supplied, reported the Financial Times, citing sources.

The agreement concerns the 2,600km-long Power of Siberia 2 pipeline, which starts in Yamalo-Nenets Autonomous Okrug (central Russia) and ends in Inner Mongolia (an autonomous region of China).

China’s approach to the pipeline highlights the extent to which President Vladimir Putin’s dependence on Chinese leader Xi Jinping for financial support has increased since Russia’s invasion of Ukraine.

People familiar with the development told the FT that China had demanded to pay prices that were nearly identical to Russia’s heavily subsidised domestic levels

In addition, it had agreed to purchase a small portion of the pipeline’s projected annual capacity of 50 billion cubic metres of gas, they added.

If the pipeline is approved, it will connect the Chinese market to gas fields in western Russia that formerly supplied Europe, supporting state-backed gas company Gazprom, which is facing losses as sanctions begin to bite.

[loganair] 03/6/2024 13:20

Russia's MOEX index declined to 3150 in the beginning of June, hitting a fresh 4-month low, driven by a hawkish Bank of Russia and lower oil prices.

[brwo349] 03/6/2024 12:58

For 987th time in this war Russia warns the West of "fatal consequences".
They'll wheel out that drunken old idiot Medvedev next, warning for the 734th time, of Russia's nuclear threat.

03/06/24


Himars strike destroys air defences inside Russia as Kremlin warns of ‘fatal consequences’ Updated 4 minutes ago

Pictured: Himars strike on air defence system in Belgorod, Russia

Ukrainian troops used US-supplied Himars missiles to destroy an advanced air defence system inside Russia, as the Kremlin warned Washington it could suffer “fatal consequences” for backing the cross-border attacks.

Several missiles are understood to have hit an air defence installation in Belgorod, Russia that was equipped with S-300/400 surface-to-air missiles.

Photos of the aftermath of the attack appeared to show fires raging from destroyed vehicles, with smoke billowing into the air. It is understood that the strike occurred on Sunday.

Earlier, Sergei Ryabkov, Moscow’s deputy foreign minister, said that the US would face “fatal consequences” if it allowed Ukraine to use American weapons for attacks inside Russia.

The US has so far allowed Kyiv to hit targets within Russia only if they pose an immediate threat to Ukrainian forces. Volodymyr Zelensky, the Ukrainian president, has since requested permission to use US munitions for long range strikes.

[1917again] 02/6/2024 09:46

500k Russian casualties

UK Ministry of Defence

The total number of Russian casualties (killed and wounded) since the start of the war in February 2022 has now likely reached 500,000. Russian losses have continued at a high level in 2024, and in May average Russian personnel casualties were over 1,200 per day – the highest reported since the start of the war.

The elevated casualty rate is highly likely a reflection of Russia’s ongoing attritional offensive which is being conducted across a wide front. It is highly likely that most Russian forces receive only limited training, and they are unable to carry out complex offensive operations. As a result, Russia employs small-scale but costly wave attacks in an effort to weaken Ukrainian defences.

[brwo349] 31/5/2024 12:02

Putin humiliated as Ukraine reverses Russian offensive victories in dramatic fightback
Vladimir Putin is furious after Ukraine's military staged a dramatic fightback and seized back control over most of a town that Russia thought they had captured in Kharkiv.
By OLI SMITH, News Reporter
11:21, Fri, May 31, 2024 | UPDATED: 11:24, Fri, May 31, 2024
21BOOKMARK

Ukraine's military has regained control of 70 percent of the Vovchansk (Image: Getty)
Russia launched a surprise counteroffensive in Kharkiv earlier this month and many military sources within the Russian army had boasted that they had captured the pivotal town of Vovchansk. However, Ukraine's Defence Forces have now confirmed that Kyiv has regained control of 70 percent of the town, amid fierce ongoing street battles.

Ukraine's Lieutenant Colonel Nazar Voloshyn said that Ukrainian counterattacks, along with effective artillery and drone strikes, were thwarting Russia's efforts and putting them on the back foot. He described Russian tactics as defensive while Ukrainian forces were increasingly seizing the initiative.

The shock fightback has stunned Vladimir Putin's forces and left the Kremlin leader furious. In response, the Russian president has called on his military to send thousands of more soldiers into the area.

[loganair] 31/5/2024 10:59

Red2020 - As from the end of June the Russian pension for an 80 year old will be around half what it is in the UK, while the total cost of living is most probably 1/3rd of what it is in the UK, therefore the average Russian 80 year old pensioner is now better off then the average 80 year old UK pensioner.

Also important for the pensioner or anybody for that matter, can see a doctor with in 48 hours in Russia same for a dentist while in the UK almost impossible to get a doctors or dentist appointment.

Take months and months and months and months often years to even see a specialist consultant in the UK, able to do so with a couple of days in Russia.

Need an operation in Russia, able to do so within the same week, while now days in the UK maybe lucky with in a couple of years.

[redhorse2020] 31/5/2024 10:44

What choice does he have other than to keep the war going Log? His country has been invaded. What do you suggest Ukraine does? Indeed what would we do if it was the UK that had been invaded?I'm very surprised you don't seem to have more sympathy with the struggle that these people are facing. Anyway I guess the ability to use US weapons on military targets in Russia now will help a bit at least.

[redhorse2020] 31/5/2024 10:35

Fair point Log. And lots of good comparisons but don't you think you should at least show the difference in Pension for completeness? You've put absolute amounts for almost everything but the very thing you initially posted about.

[loganair] 31/5/2024 10:28

The MOEX Russian Index has increased by 138 points or 4.46% since the beginning of 2024.

[loganair] 31/5/2024 10:22

Ukrainian soldiers now mining the border between the Ukraine and Romania to try and stop men from escaping mobilisation from trying to leave the Ukraine, this is how bad its now got in the Ukraine.

Since the conflict started in February 2022, Zelensky has taken, I mean just taken at least $400mln in cash of United States money sent to the Ukraine while the average Ukrainian is really suffering. No wonder why he wants to keep the war going as long as possible.

Zelensky is just a self-serving corrupt thief.

[loganair] 31/5/2024 08:47

Red2020 - Can not compare absolute amounts when it comes to pensions or wages as for example:

1. The cost of energy...electricity is 9 times cheaper in Russia compared to the UK.
2. The cost of gas for a year (hot water and heating) is around £120 in even the largest cities in Russia while in the UK is well over £2,000.
3. Rates for a 1 bedroom flat in Redhill are £2,200 while for a 2 bedroom flat in St Petersburg are £800.
3a. In Russia the cost of water comes in the rates while in the UK there is a separate bill.
4. Petrol is around 50p per litre in Russia compared to around 150p in the UK.
5. Cost of public transport even in St Petersburg is around 50p per journey, in other cities is around 30p while in the UK has been capped at £2 for the moment, however before the cap looking at between £3 and £6 per journey.
6. A taxi in St Petersburg is around £2, for the same distance journey in the UK around £15. A 3 hour taxi ride from Kazan airport is £30 while the same from any UK airport would be at a guess at least £300.


Box of 6 eggs in Tesco are £1.30, box of 10 eggs in a supermarket in St Petersburg 60p.

[dil 21] 30/5/2024 22:12

… and what percentage of the population actually reach the age of 80.