MNI BRIEF: EC Seeking Alternative Backstop For Ukraine Loan
Dec-02 12:54By: David Thomas
European Union
The European Commission is looking at "alternative" ways of providing backstop liquidity for its proposed €140bn loan to Ukraine other than the ECB.
Chief Spokesperson for the Commission Paula Pinho said the liquidity issue was an "essential part" of the ongoing discussions on the loan which will draw on cash balances on immobilized Russian assets held at Euroclear in Brussels.
Her comments follow an FT report Tuesday suggesting the ECB has refused to provide backstop liquidity in the event that the assets have to be unfrozen, say as part of a peace deal to end the war in Ukraine.
