France opposes participation of its banks in the reparations loan scheme for Ukraine

KYIV, - France has said that it does not agree to the participation of its banks in the proposed reparations loan scheme for Ukraine, which is being discussed at the EU and G7 level. This was reported by French officials commenting on Paris' position on the future mechanism for using Russia's assets.

Details of the French position

According to Western media, the French authorities believe that the proposed model of involving private banks could create financial risks for the country's credit institutions. Government representatives emphasise that reparations instruments should be financed by blocked Russian assets or joint European decisions, not by national banking structures.

Paris also recalled that France is already one of Ukraine's key donors in the military, financial and humanitarian spheres, and insists on «a fair distribution of the burden among all partners».

Context.

The EU and the G7 countries are considering several options for using the frozen Russian assets, including a reparations lending scheme, under which banks in the member states would provide long-term loans to Ukraine and service them with the proceeds of these assets.

The US is actively promoting a loan model for future reparations from Russia, but some European countries, including France, are demanding additional guarantees and legal details. Discussions on the final architecture of the mechanism are ongoing.