Sweden wants to guarantee more billions for Ukraine

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Sweden wants to guarantee more billions for Ukraine
Photo: Lars Schröder/TT

The government wants Sweden to guarantee a 2.5 billion SEK loan to Ukraine through the World Bank.

This is because Ukraine has hit the ceiling on how much it can borrow from the World Bank.

Given that the US has increasingly withdrawn from direct financial support, we need to be the second country to help Ukraine, says Minister of International Development Cooperation Benjamin Dousa (M) to TT.

This means that Ukraine takes out a loan from the World Bank. If it is unable to pay interest and principal within six months, the risk falls on Sweden.

Shortly after Russia's full-scale invasion in 2022, Sweden did the same thing. At that time, it involved around half a billion kronor.

Ukraine has not canceled a single payment so far. But if it cancels a payment, the risk falls on the aid budget, says Dousa, who hopes that other European countries will follow suit.

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By TT News AgencyEnglish edition by Sweden Herald, adapted for our readers

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