When G7 will agree on terms of $50 billion loan to Ukraine: US Treasury Secretary's forecast

She mentioned that the discussions among the G7 finance ministers in Brazil regarding the loan for Ukraine were constructive. Specifically, the requirement for the US was to ensure that Russian assets remain frozen for a longer period.

"We've had constructive conversations here. And we're working closely together to try to move this forward. I think things look good in terms of getting to a place where we can get this done probably by October," the official noted.

According to Yellen, the US is seeking assurances from Europe that the assets will remain frozen for an extended period so that the income from them can be used to repay the loan before a peace agreement is reached between Ukraine and Russia.

"We need assurances that make it clear that American taxpayers are not going to be on the hook to pay off these loans. And we want to make sure it satisfies the budget scorers that these assets will be the source of repayment for these loans," Yellen added.

She explained that the European Union is currently exploring several alternatives to freeze Russian assets for a period longer than six months. Currently, the sanctions are extended by the bloc every six months.

$50 Billion for Ukraine

In June, during the summit, the G7 leaders decided to provide Ukraine with a $50 billion loan. This will be repaid using profits from Russian assets that have been frozen by Western countries since the start of the full-scale war.

Currently, the terms of the loan are being finalized. Specifically, the G7 countries are determining each member's contribution.

The issue of the loan for Ukraine became the main topic of discussion among G7 finance ministers in the sidelines of the G20 summit in Brazil.