OR Germany provides for a halving of bilateral military aid to Ukraine in its draft budget for 2025, counting on the money that frozen Russian assets will bring in to continue supporting Kiev, a parliamentary source told AFP today.

His government Olaf Solz does not foresee additional aid beyond the 4 billion euros included in next year’s budget to help Ukraine militarily, the source said, confirming press reports.

This year his help Berlinwhich contributes the largest amount after the United States, amounts to 8 billion euros.

In compensation, Germany is counting “on the creation, within the framework of the G7 and the European Union, of a financial instrument that will use the frozen Russian assets,” added a finance ministry source.

“German bilateral aid remains at the highest level but counts on the effectiveness of this tool,” the source commented.

The decision was the subject of an agreement between the Social Democratic chancellor and Liberal Finance Minister Christian Lindker, according to the Frankfurter Allgemeine Sonntagszeitung in its weekend edition.

According to the newspaper, Lindnerwho is a stickler for fiscal discipline, wrote to Social Democrat Defense Minister Boris Pistorius on August 5 to ask him to “guarantee” that the 4 billion mark in next year’s budget will be met.

The draft budget for 2025 has been the subject of intense debate within the three-party coalition of Liberals, Greens and Social Democrats.

The finance minister asked his counterparts to economize in order to comply with the “debt brake”, a constitutional rule intended to prevent the state from borrowing too much.

The draft budget is not final, however, and is expected to be debated further in parliament before being approved by the end of the year.

Ukraine’s allies have been working for several months on a mechanism that would allow some of the $300 billion in Russian assets frozen around the world to be used to support Kiev in its war against the Russian military.

A “political agreement” between G7 countries was reached in mid-June over a US proposal to finance a €50 billion loan to Ukraine.

Berlin “starts from the beginning that these funds can be used from 2025,” the parliamentary source told AFP.