The G7 has agreed to use frozen Russian assets to raise $50billion for Ukraine to help the country fight invading Russian forces.
US President Joe Biden said on Thursday that the deal was another reminder to Russia that the west was not backing down.
This comes as 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.
According to the White House, the security deal means Washington and Kyiv will work to build and maintain Ukraine’s defence capability and support economic recovery and energy security.
The security deal also means that in the event of a future Russian armed attack against Ukraine, there will be consultation at the highest levels to determine appropriate and necessary measures to support the country
Under the G7 plan, the $3billion will be used to pay off the annual interest on the $50billion loan for the Ukrainians, taken out on the international markets.
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.
The G7 group of rich nations, which includes 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.