European Economic Commissioner Paolo Gentiloni said on Tuesday that the European Commission plans to submit a proposal on a $50 billion loan package to support Ukraine “very soon,” to meet the end-of-year deadline for completing legislative work.

Gentiloni added, in statements reported by Bloomberg ahead of a meeting of European Union finance ministers in Brussels, that the aid plan based on unexpected profits from frozen Russian assets will also be discussed by finance ministers and heads of central banks of the Group of Seven in Rio de Janeiro next week.

He pointed out that “the moment to start this process is very urgent. This is why the Commission is working intensively, due to the G7 meeting next week, to put the proposal on the table as soon as possible, that is, very soon.”

Gentiloni explained that continuity in supporting Ukraine is one of the most important features of this new group of loans, because we want to give a clear signal that the G7 countries and others in the world will continue to support Ukraine.

The European aid allocated to Ukraine (33 billion in loans and 17 billion in donations) is included in an addition to the European Union budget until the year 2027, and it is aid that Kiev desperately needs to support its economy, while the US Congress has released aid.

Circumventing Hungary's opposition

The European Union is seeking to find ways to circumvent Hungary's opposition to support Ukraine, which is the most pro-Russian country in the European Union and currently holds the rotating presidency of the bloc. 

Budapest stands in the way of billions of euros in military aid that Kiev urgently needs as the Ukrainian army seeks to repel Russian attacks.