World Bank President Ajay Banga has expressed readiness to manage a fund for Ukraine, disbursing a G7 loan using earnings from frozen Russian assets for non-military purposes.

In an interview with Reuters, Banga confirmed the World Bank's experience in managing similar non-military donor fund facilities, such as one for Afghanistan, and indicated a willingness to replicate this for Ukraine.

Although not yet approached by the U.S. Treasury or G7 governments, Banga stated he would be prepared to manage such a fund with appropriate safeguards.

The G7, which froze approximately $300 billion of Russian assets following Moscow's invasion of Ukraine in February 2022, is exploring ways to use the income from these assets to aid Ukraine.

The finance ministers and central bankers of the G7, meeting in Stresa, northern Italy, aim to present options for Ukraine funding at a summit in mid-June. The G7 statement emphasized that Russian sovereign assets will remain immobilized until Russia compensates Ukraine for the damage caused.

Additionally, the G7 meeting addressed concerns about China's industrial overcapacity and non-market policies, which are seen as undermining economic resilience and fair competition. The ministers discussed monitoring and potentially taking steps to ensure a level playing field in line with WTO principles.