Japan-Ukraine Relations
Signing and Exchange of Notes concerning a Yen Loan project of the “Extraordinary Revenue Acceleration Loan for Ukraine”
April 18, 2025
On April 18, 2025, Mr. NAKAGOME Masashi, Ambassador Extraordinary and Plenipotentiary of Japan to Ukraine, and Mr. Sergii MARCHENKO, Minister of Finance of Ukraine, signed and exchanged notes concerning “Extraordinary Revenue Acceleration (ERA) Loan for Ukraine” (up to 471.9 billion yen) in Kyiv, Ukraine.
- Overview of the project
This project aims to support the programmes that address Ukraine’s budgetary needs amid the economic crisis caused by Russia’s aggression against Ukraine and promote Ukraine’s reconstruction and development through financial support to the Government of Ukraine.
This will be implemented under the framework of the “ERA Loan for Ukraine” which the G7 leaders consented to launch at the G7 Puglia Summit in June 2024. This framework is based on the provision of loans by the G7 using extraordinary revenues stemming from the immobilisation of Russian sovereign assets held in EU jurisdictions as the source of repayment. - Loan terms
- Interest rate: TORF + 90 bp
- Repayment period: 30 years (no grace period)
- Procurement terms: General Untied
(Reference)
Ukraine covers an area of approximately 603.700 square kilometers (roughly 1.6 times the area of Japan), and has a population of 39.4 million people (World Bank, 2023) and a gross national income (GNI) per capita of 5,070 U.S. dollars (World Bank, 2023).