Watch Live: President Biden and Volodymyr Zelenskyy to speak as G7 leaders agree to give Ukraine $50 billion loan

The leaders of the Group of Seven nations have agreed to give Ukraine a $50 billion loan to address the fallout from President Vladimir Putin’s continued war on Ukraine, a senior administration official said Thursday. 

The loan would be funded by interest earned on profits from Russia’s frozen assets, largely held in Europe. The loan will fund military aid, humanitarian support and reconstruction costs. The move comes as Mr. Biden is set to sign a separate security agreement with Ukrainian President Volodymyr Zelenskyy. Mr. Biden and the leaders of Italy, Canada, German, France, Canada and the United Kingdom are in Italy for a series of G7 meetings this week. 

Mr. Biden and Zelenskyy are holding a joint press conference in Italy on Thursday. The U.S.-Ukraine security agreement commits U.S. support for Ukraine for the next decade, including military training, intelligence sharing and weapons assistance. 

The agreement fulfills a pledge last year to solidify Ukrainian security and is meant to be a bridge to an eventual invitation to Ukraine to join NATO. The president’s news conference with Zelenskyy follows a day of meetings with Italian Prime Minister Giorgia Meloni and leaders of the other G7 nations with advanced industrialized economies.

“By signing this we’ll also be sending Russia a signal of our resolve,” White House national security adviser Jake Sullivan told reporters Wednesday. “If Vladimir Putin thinks he can outlast the coalition supporting Ukraine, he’s wrong.”

As Mr. Biden was departing the U.S. for Italy, the Treasury and Commerce departments announced a new round of sanctions targeting Russia and its “war machine.” The latest sanctions are aimed at slowing Russia’s military growth as it continues its war in Ukraine. The sanctions will make it harder for Russia to import supplies to build military equipment, though they will still allow food and goods to get into Russia outside those sectors.

More than a dozen other nations have similar security agreements with Ukraine. 

The Biden administration is now allowing Ukraine to use U.S. weapons across the border into Russia near the city of Kharkiv, a policy change that Sullivan said came with Russia opening a new front in its war. 

“Our position here we believe is straightforward and common sensical,” Sullivan said. “Russians are launching attacks from one side of the border directly on to the other side of the border. And Ukraine ought to be able to fire back across that border.” 

Mr. Biden and Zelenskyy also met last week, on the sidelines of D-Day memorial events in France. Then, Mr. Biden publicly apologized to Zelenskyy for a monthslong holdup in military assistance that allowed Russia to make gains in its war. 

“You haven’t bowed down. You haven’t yielded at all,” Mr. Biden told Zelenskyy in France. “You continue to fight in a way that is just remarkable, just remarkable. We’re not going to walk away from you.” 

Corey Rangel contributed to this report