Japan loans $ 100m to Ukraine amid war with Russia – Latest News – The Nation Pi News

Ukraine has inked a 13 billion yen ($ 100 million) loan agreement with Japan amid the ongoing war with Russia.

The deal was signed by Ukrainian Finance Minister Sergii Marchenko and Akihiko Tanaka, president of the Japan International Cooperation Agency (JICA).

The loan is the first part of financial assistance of nearly $ 300 million agreed between Ukraine and Japan after Russia launched a war on its neighbor on Feb. 24.

The money “will be directed to the state budget to finance priority expenses,” Marchenko said in a statement on Monday.

“The signed agreement refers to the budgetary support for the stabilization of the situation in Ukraine, in particular, the provision of priority social, and humanitarian expenditures, health care, support for internally displaced persons, and other priority expenditures,” the statement read.

The loan will be repaid in 30 years, including a grace period of 10 years, with an interest rate of 1% per annum.