US says it will front $50 billion for Ukraine using Russian frozen assets

BORGO EGNAZIA, ITALY — The United States said Thursday it and other G7 members will provide Kyiv with a loan of up to $50 billion that will be paid back to Western allies using interest income from Russian assets frozen in Western financial institutions.

The announcement came as U.S. President Joe Biden meets with leaders of the Group of Seven wealthy democracies Thursday at the luxury resort of Borgo Egnazia in Puglia, Italy, on the first day of their summit.

Biden has been pushing G7 leaders to agree to his plan for Western allies to provide funds up front to Ukraine and to be paid back using interest income from the $280 billion in immobilized Russian assets.

The frozen funds are expected to generate an interest income of $3 billion a year or more. The $50 billion loan will be paid back with the interest income for 10 years or more or until Russia pays reparation.

The European Union in May had agreed on a less aggressive plan, which would provide Ukraine with the interest income as it is generated annually.

Other G7 countries are expected to declare how much they’re willing to provide to Ukraine. However, a senior administration official told reporters Thursday that the U.S. is willing to front the full $50 billion. The U.S. will not be the only lender but part of a “lending syndicate” with other G7 members. The money can be made available “this calendar year” depending on how quickly Ukraine will be able to absorb it.

“USAID has loan authority already established from Congress,” the official told VOA during the briefing for reporters. “There’s not a set schedule that is required or a capped amount, but we have decided that we can provide up to $50 billion.”

Under EU rules, the sanctions regime that freezes the funds must be unanimously renewed every six months by the bloc’s 27 member states. The official said that Germany, France, Italy, the European Commission and the president of the European Council have “committed” to keep the loan immobilized and will seek approval from the full membership of the EU.

However, other requirements need to be worked out, including adoption by the EU as well as contracts between lenders, Ukraine and any intermediaries, the official said.

In April, Biden signed legislation to seize the roughly $5 billion in Russian assets that had been frozen in U.S. financial institutions. The bulk of the frozen money, $190 billion, is in Belgium, and much of the rest is in France and Germany.

Much is still unknown about the plan. However, the U.S. goal is to have a leaders’ declaration at the end of the summit that lays out a “framework that is not generic, that is quite specific in terms of what it would entail,” White House national security adviser Jake Sullivan told VOA Wednesday. Core operational details still need to be worked out, he said.

Attending the summit for the second consecutive year, Ukrainian President Volodymyr Zelenskyy is advocating for the deal to pass. He and Biden are scheduled to sign a separate bilateral security agreement outlining U.S. support for Ukraine and speak in a joint press conference Thursday evening.

US reporter Evan Gershkovich, jailed in Russia on espionage charges, to stand trial, officials say

Moscow — American reporter Evan Gershkovich, jailed in Russia on espionage charges, will stand trial in the city of Yekaterinburg, Russian authorities said Thursday.

Russia’s Prosecutor General’s office said an indictment of Gershkovich has been finalized and his case was filed to the Sverdlovsky Regional Court in the city in the Ural Mountains.

Gershkovich is accused of “gathering secret information” about a facility in the Sverdlovsk region that produced and repaired military equipment, the Prosecutor General’s office said in a statement, revealing for the first time the details of the accusations against the jailed reporter. Gershkovich has been charged with espionage.

The officials didn’t provide any evidence to back up the accusations.

Gershkovich was detained while on a reporting trip to Yekaterinburg in March 2023 and accused of spying for the U.S. The Federal Security Service, or FSB, alleged at the time he was acting on U.S. orders to collect state secrets but also provided no evidence. Washington designated him as wrongfully detained.

He was the first U.S. journalist taken into custody on espionage charges since Nicholas Daniloff in 1986 at the height of the Cold War. Gershkovich’s arrest shocked foreign journalists in Russia, even though the country had enacted increasingly repressive laws on freedom of speech after sending troops into Ukraine.

Biden, G7 leaders focus on Ukraine, Gaza, global infrastructure, Africa

BORGO EGNAZIA, ITALY — U.S. President Joe Biden is in Apuglia, Italy, meeting with leaders of the Group of Seven wealthy democracies Thursday, aiming to address global economic security amid wars in Europe and the Middle East and U.S. rivalry with China.

The G7 leaders arrived at the luxury resort of Borgo Egnazia, the summit venue, welcomed by Italian Prime Minister Giorgia Meloni. Meloni’s hard-right party took nearly 29% of the vote in last weekend’s European Parliament election, making her the only leader of a major Western European country to emerge from the ballots stronger.

Meanwhile Biden is dealing with a contentious reelection campaign against Republican presumptive nominee Donald Trump, and a personal ordeal. On Tuesday, a day before departing for the summit, his son, Hunter, was found guilty on federal charges for possessing a gun while being addicted to drugs.

Still, Biden came to the summit hoping to convince the group to provide a $50 billion loan to Ukraine using interest from Russian frozen assets, and deal with Chinese overcapacity in strategic green technologies, including electric vehicles. 

The European Union signaled their support by announcing duties on Chinese EVs a day ahead of the summit, a move that echoed the Biden administration’s steep tariff hike on Chinese EVs and other key sectors in May.

Biden is also lending his support to key themes in Meloni’s presidency – investing in Africa, international development, and climate change. Those topics were covered in the opening session of the G7 on Thursday, followed by discussions on the Gaza and Ukraine wars. 

Gaza cease-fire

With cease-fire negotiations at a critical juncture, Biden could face tough questions from leaders on whether he is doing enough to pressure Israel to pause its military campaign, reduce civilian casualties and provide more aid for Palestinians.

Leaders are “focused on one thing overall; getting a cease-fire in place and getting the hostages home as part of that,” White House national security adviser Jake Sullivan told VOA as he spoke to reporters on board Air Force One en route to Italy. Biden has “their full backing,” Sullivan added.

Leaders will also discuss increasing tension along the Israeli border with Lebanon, Sullivan told reporters Thursday morning. 

“They’ll compare notes on the continuing threat posed by Iran both with respect to its support for proxy forces and with respect to the Iranian nuclear program,” he added.

While the group has thrown its weight behind the cease-fire, G7 members are split on other Gaza-related issues, including the International Criminal Court’s decision last month to seek arrest warrants for the leaders of Hamas and Israeli Prime Minister Benjamin Netanyahu.

The United States denounced the court’s decision, and Britain called it “unhelpful.” France said it supports the court’s “fight against impunity,” while Berlin said it would arrest Netanyahu on German soil should a warrant is released.

Sullivan dismissed a United Nations inquiry result released Wednesday that alleges both Israel and Hamas committed war crimes and grave violations of international law.

“We’ve made our position clear,” he told VOA, referring to a review published in April by the State Department concluding that Israel’s campaign did not violate international humanitarian law.

Russian assets

Biden is pushing G7 leaders to provide Kyiv with a loan of up to $50 billion that will be paid back to Western allies using interest income from the $280 billion Russian assets frozen in Western financial institutions, estimated at $3 billion a year, for 10 years or more.

The goal is a leaders declaration at the end of the summit, a “framework that is not generic, that is quite specific in terms of what it would entail,” Sullivan told VOA Wednesday. Core operational details would still need to be worked out, he added. 

In April, Biden signed legislation to seize the roughly $5 billion in Russian assets that had been immobilized in U.S. financial institutions. The bulk of the money, though, $190 billion, is in Belgium, and much of the rest is in France and Germany.

“There’s a tension here between a Biden administration ambition on an issue in which they do not have the final say, hitting against very staunch European fiscal conservatism and simply the mechanics of, how do you get something done in Europe in the week of European [parliamentary] elections,” Kristine Berzina, managing director of Geostrategy North at the German Marshall Fund think tank, told VOA.

Attending the summit for the second consecutive year, Ukrainian President Volodymyr Zelenskyy is advocating for the deal to pass. He and Biden will sign a separate bilateral security agreement outlining U.S. support for Ukraine and speak in a joint press conference Thursday evening.

From Italy, Zelenskyy heads to Switzerland for a Ukraine peace conference over the weekend.

Africa, climate change and development

Meloni, a far-right politician who once called for a naval blockade to prevent African migrants from crossing the Mediterranean Sea to Europe, now wants to achieve the goal by bolstering international investments to the continent.

Most of the nearly 261,000 migrants who crossed the Mediterranean Sea from northern Africa in 2023 entered Europe through Italy, according to the United Nations.

She has aligned her G7 presidency with this agenda, and the group is set to release a statement on providing debt relief for low- and middle-income countries, dealing with irregular migration and calling for more investments in Africa.

The G7 statement will reflect the Nairobi/Washington vision that Biden signed with Kenyan President William Ruto, Sullivan said.

Meloni invited several African leaders as observers to the G7 meeting, including Algerian President Abdelmadjid Tebboune, Tunisia’s Kais Saied, Kenyan President William Ruto and Mohamed Ould Ghazouani, the president of Mauritania. The invitation follows the first Italy-Africa summit in Rome in January, where Meloni launched her investment initiative called the Mattei Plan for Africa.

The Mattei Plan has been integrated into the G7’s Partnership for Global Infrastructure and Investment, which aims to mobilize $600 billion private infrastructure funding by 2027 as an alternative to Chin’s Belt and Road initiative.

On climate change, the G7 has an uphill climb. None of the group’s members are on track to meet their existing emission reduction targets for 2030 to align with the Paris Agreement goal, according to data compiled by Climate Analytics.

Hong Kong cancels passports of six self-exiled democracy activists

London, Washington — Hong Kong authorities have canceled the passports of six pro-democracy activists living in self-exile in Britain.

A statement issued Wednesday identified Nathan Law, Finn Lau, Christopher Mung, Simon Cheng, Johnny Fok and Tony Choi as “lawless wanted criminals hiding in the United Kingdom.”

The statement said the six “continue to blatantly engage in activities that endanger national security,” including making remarks that slander Hong Kong.

During a press conference, Hong Kong Secretary for Security Chris Tang announced the designation of six individuals as “specified absconders” under the “Safeguarding National Security Ordinance” commonly known as Article 23.   

Tang expressed concerns about British entities attempting to influence Hong Kong’s governance and security cases, citing the listed individuals’ activities as threats to national security.

Tang mentioned that individuals wishing to return to Hong Kong and surrender could seek assistance from its immigration department.

Simon Cheng, co-founder of the Hongkongers in Britain group, said the revocation of the passports can be seen as an act of retaliation specifically directed at Hong Kong exiles currently living in the U.K.  

Last month, London’s Metropolitan Police charged three individuals, including an official from the Hong Kong Economic and Trade Office, for helping the Hong Kong intelligence service to monitor overseas dissidents.

“I believe this is a form of revenge for the ‘Hong Kong espionage case’ incident, and it also clearly indicates that we, as democratic activists, have become political and diplomatic hostages,” Cheng told VOA.

The government has warned that anyone who provides money, leases property or co-owns a business with any of the six activists could face up to seven years in jail.

Being on Hong Kong’s wanted list has had minimal impact on the daily lives of the U.K.-based exiles, said Cheng.  Since being on the list, he said, the dissidents no longer rely on Hong Kong SAR passports but use alternate forms of documents when needed.

But, Cheng said, people and financial institutions may now have second thoughts when interacting with the six people described as “wanted criminals” who no longer have valid passports. 

Nathan Law wrote on his Facebook page that the government’s move was unnecessary since he was granted asylum in Britain in 2021. 

Law stated that in 2020, when he sought asylum in the U.K., he surrendered his SAR passport to the U.K.’s Home Office. After his asylum application was granted, Law did not take his passport back. 

The cancelation of the passports was based on the Safeguarding National Security Ordinance passed in March by the city’s legislature under Article 23 of Hong Kong’s Basic Law, the mini constitution that took effect when Britain handed the city back to China in 1997.   

The law covers treason, insurrection, espionage, theft of state secrets, foreign influence and interference and sabotage, including the use of computers and electronic systems to conduct acts that endanger national security.  

“You can cancel my passport, but you can never cancel my identity as a Hong Kong citizen,” said Christopher Mung, one of the six. “One day, we will reclaim what we rightfully deserve in a dignified manner.”

The Article 23 legislation expanded on a similar national security law imposed on the port city by China four years ago in response to massive pro-democracy demonstrations a year earlier. The national security law punished anyone in Hong Kong believed to be carrying out terrorism, separatism, subversion of state power or collusion with foreign forces.

Since the law took effect, hundreds of democracy advocates have been arrested, tried and jailed, and the city’s once-vibrant civil society has been stifled.  

VOA’s Cantonese service contributed to this report.

India beats US at cricket’s Twenty20 World Cup

WESTBURY, New York — There was no upset this time for the United States as the home team was easily beaten by cricket heavyweight India at the Twenty20 World Cup on Wednesday.

Suryakumar Yadav’s half-century powered India to a seven-wicket win over the U.S., which had shocked Pakistan last week.

With the win, India reached the Super 8 round. The U.S. can advance by beating Ireland on Friday.

In a later match at Brian Lara Stadium in Trinidad, Sherfane Rutherford scored an unbeaten 68 from 39 deliveries to help the West Indies in their great escape — the co-hosts beat New Zealand by 13 runs.

The Caribbean lineup, 149-9 in its 20 overs, was 76-7 before its Rutherford-led recovery. Alzarri Joseph snared four New Zealand wickets and Gudakesh Motie took three — including New Zealand captain Kane Williamson for 1 — to restrict the Black Caps to 136-9 in reply.

On Long Island, Yadvav’s 50 runs came off 49 balls and included two boundaries and two sixes. He put on 72 runs off 65 balls in an unbeaten fourth-wicket stand with Shivam Dube, who scored 31 not out as India finished with 111-3 in 18.2 overs in reply to 110-8 by the United States.

Left-arm pacer Arshdeep Singh returned figures of 4-9 — including two wickets in the first over — to restrict the co-hosts after India had won the toss and opted to field at the Nassau County International Stadium.

India was in early trouble in its chase as Indian-born medium pacer Saurabh Netravalkar continued his golden run for the Americans.

After bowling the co-hosts to the upset over Pakistan, he celebrated the wickets of Indian superstars Rohit Sharma and Virat Kohli.

Kohli was caught behind for a golden duck — dismissed off the first delivery he faced — in what surely will become a career highlight for Netravalkar. Sharma (3) fell to a slower delivery as Netravalkar finished with 2-18 in four overs.

Rishabh Pant scored 18 off 20 balls batting at No. 3 before he was bowled by Ali Khan delivery. With India struggling at 39-3 in 7.3 overs, the U.S. team momentarily raised visions of an even bigger shock.

West Indies advanceLeft-hander Rutherford turned the home team’s fortunes around, going to the crease with the West Indies reeling at 22-4 after 5.4 overs. Rutherford scored 18 off the last over that culminated with a six and a boundary.

The loss left New Zealand with a strong possibility it will not make the second round. If Afghanistan beats Papua New Guinea on Thursday, three-time runner-up New Zealand will be out of contention.

For most of the first half of the game, the Black Caps were on top.

But Rutherford went on the attack as the West Indies added 58-2 in the last five overs of their innings.

He was 15 off 14 deliveries when star allrounder Andre Russell was out for 14 in the 13th over, and he accelerated with the lower-order in a counter-attacking, 72-minute innings containing six sixes and two boundaries.

“It’s a good feeling, to help my team. That is what we live for and work hard for,” man-of-the-match Rutherford said during the innings break. “It was a very tough surface to start on. I think 149 is a brilliant score on this wicket.”

After the match, Rutherford had a more optimistic tone: “It is only the start of something big to come and hopefully we can keep winning and momentum going.”

New Zealand started well after winning the toss and fielding, with Trent Boult (3-16) bowling opener Johnson Charles to end the first over.

Tim Southee (2-21), recalled after missing New Zealand’s opening loss to Afghanistan, dismissed dangerman Nicholas Pooran for 12 in the fourth over, trigging a run of three wickets for three runs.

Lockie Ferguson deceived Roston Chase with a slower ball to make it 21-3 and skipper Rovman Powell (1) was caught behind off Southee five balls later.

Russell went on the attack but his dismissal — caught in the deep of Boult’s bowling — appeared to be an insurmountable setback until Rutherford took up the challenge.

“The quality of Sherfane’s innings was high,” New Zealand skipper Williamson said. “The batting depth in their side was beneficial for sure. We cannot make excuses and have to find ways.”

Anti-Muslim hate groups in US surge back into spotlight

Washington — Once seemingly fading into obscurity, anti-Muslim hate groups in the United States have surged back into the spotlight in recent months, reinvigorated by the Israel-Hamas war in Gaza.

Many of these groups, such as Jihad Watch and ACT for America, emerged in the aftermath of the 9/11 attacks on the U.S. and thrived on public fears of terrorism. But as those fears waned in recent years, so did the groups’ sway. Some disbanded, while others gravitated to other hot-button issues.

From a peak of 114 in 2017, their number dropped to a mere 34 last year, according to the Southern Poverty Law Center, a nonprofit that tracks hate groups.

In early 2023, “Islamophobia was down to a slow trickle,” SPLC senior research analyst Caleb Kieffer said.

Then came the October 7 Hamas assault on Israel, which claimed about 1,200 lives and triggered a massive Israeli military response in Gaza.

Anti-Muslim groups that had “opportunistically” seized on divisive issues, such as critical race theory and LGBTQ-inclusive policies, swung back into action.

“These anti-Muslim groups went right back to their core messaging,” Kieffer said in an interview with VOA. “They’ve been going hard on the rhetoric since October last year.”

Take ACT for America. Founded in 2007 by Brigitte Gabriel, a Lebanese American political activist and self-described “survivor of terrorism,” it grew into one of the country’s leading anti-Muslim organizations.

At its peak, the group had more than 50 active chapters, each counted as a separate hate group by the SPLC. But in recent years, most of those chapters either shut down or shifted into other areas, leaving ACT for America with just eight on SPLC’s most recent list.

According to the SPLC, ACT for America embraced a “nativist tone” before October 7, circulating, among other things, a petition calling to “Stop the Taxpayer Funded Border Invasion.”

After October 7, the group launched another petition more in line with its agenda and with a call by former U.S. President Donald Trump to stop admitting Palestinian refugees from Gaza.

Warning her followers about homegrown jihadi terror, Gabriel, a staunch Trump supporter, began peddling her bestselling anti-Muslim book, Because They Hate: A Survivor of Islamic Terror Warns America, in exchange for a $25 donation.

In a video titled “Wake Up America” in October, she claimed, “Hamas has a large network of cells spreading all across America,” from Laurel, Maryland, to Tucson, Arizona.

Other groups that had also latched onto contentious issues similarly pivoted back to their core agenda.

Jihad Watch, a website run by prominent anti-Muslim figure Robert Spencer, published an article last October claiming, “We’re in a war between savages and civilization. Everything else is a detail.”

Eight days later, an affiliated political website called FrontPage Magazine ran a piece titled “It’s Islam, Stupid,” arguing that everything Hamas did “has been done by Muslims throughout history and is still being practiced today.”

FrontPage Magazine is published by the David Horowitz Freedom Center, another leading anti-Muslim group. Jihad Watch is a project of the center.

ACT for America, Jihad Watch and the David Horowitz Freedom Center are part of what experts describe as a well-funded, close-knit anti-Muslim industry, with each group playing a distinct role in the ecosystem.

With chapters across the country, Washington-based ACT for America provides the “grassroots muscle” to the movement, Kieffer said. The Center for Security Policy serves as its think tank, he said.

The SPLC-designated groups appear on other hate lists. Several SPLC-branded groups contacted by VOA condemned their designation.

In a statement to VOA, a spokesperson for ACT for America rejected the “anti-Muslim” label, saying the organization has “always welcomed and included members of all faiths,” including Muslims, and hosted Muslim keynote speakers at its conferences.

ACT for America works “on a broad range of issues, none of which are anti-Muslim,” the spokesperson said.  “As a matter of fact, since the defeat of ISIS and al-Qaida between 2018 and 2024, you didn’t hear a blurb from ACT for America about radical Islam.”

In response to a VOA query, Jihad Watch’s Spencer accused the SPLC of smearing and defaming “organizations that oppose its far-left political agenda by lumping them in with the likes of the KKK and neo-Nazis.”

In a brief interview with VOA, J. Michael Waller, a senior analyst for strategy at the Center for Security Policy, called the designation “slander,” saying it was tied to his group’s criticism of the Iranian government and the Muslim Brotherhood.

Kieffer defended the SPLC’s methodology, saying it only designates groups that “vilify” and “demonize” people because of their race, religion, ethnicity, sexual orientation or gender identity.

The SPLC defines anti-Muslim hate groups as organizations that “broadly defame Islam and traffic in conspiracy theories of Muslims being a subversive threat to the nation.”

Not every anti-Muslim hate group has stood the test of time. In recent years, dozens of ACT for America chapters have closed.

The ACT for America spokesperson said most of its member groups have “turned into digital chapters meeting via zoom or other technology platforms.”

Last year, an anti-refugee and anti-Muslim blog called Refugee Resettlement Watch became inactive and was dropped from SPLC’s list of hate groups.

Another well-known anti-Muslim group called Understanding the Threat announced last year it was shutting down. The group was operated by a former FBI agent known for spreading anti-Muslim conspiracy theories.

Other groups have rebranded. One former ACT for America chapter now operates as AlertAmerica.News, according to SPLC. Its focus ranges from “strengthening national security” to “fighting communism and American Marxism.”

Kieffer said while the group’s central focus may have shifted away from Islamophobia, it continues to invite well-known, anti-Muslim speakers to its events.

With the war in Gaza still raging, the resurgence in Islamophobia remains unabated, Kieffer said. But that’s likely to change in the run-up to the presidential election in November.

“I imagine that we’re going to slowly see a decline again as these groups start to push other issues,” he said.

Brian Levin, a criminologist and hate crime researcher, noted that anti-Muslim hate crimes have surged in recent years, even as the number of hate groups has dwindled.

That’s because hatred has found a new home in the mainstream, rendering niche groups such as Islamophobic outfits increasingly obsolete, he said.

“The bottom line is, the way we associate to express and amplify hatred has changed,” Levin said in an interview with VOA. “Up-and-coming bigots of all sorts will find an array of xenophobic bigotry and conspiracism within general mainstream platforms.” 

Biden arrives at G7 in Italy with sanctions for Russia, support for Ukraine, but no deal on Gaza

Brindisi, Italy — U.S. President Joe Biden arrived in Brindisi, Italy, late Wednesday ahead of his meeting with leaders of the Group of Seven industrialized democracies.

He came armed with fresh sanctions for Russia, a new bilateral security agreement for Ukraine, but no breakthrough on Gaza cease-fire negotiations that now sit at a critical juncture.

The United States is working with mediators Egypt and Qatar after reviewing Hamas’ response to the proposal, White House national security adviser Jake Sullivan told reporters aboard Air Force One en route to Italy early Wednesday.

“Many of the proposed changes are minor and not unanticipated,” he said. “Others differ quite substantively from what was outlined in the U.N. Security Council resolution.”

As Biden was in flight to Italy, the U.S. Treasury Department announced fresh sanctions that target individuals and companies, including those based in China, that are selling semiconductors to Russia.

It includes an expansion of secondary sanctions that allow the United States to blacklist any bank around the world that does business with Russian financial institutions already facing sanctions. The goal is to prevent smaller banks in China and other countries from funding the Russian war effort.

The sanctions also target networks Russia uses to obtain critical materials for building aerial drones, anti-drone equipment, industrial machinery and for the country’s chemical and biological weapons program, the Treasury Department said.

“We are increasing the risk for financial institutions dealing with Russia’s war economy and eliminating paths for evasion, and diminishing Russia’s ability to benefit from access to foreign technology, equipment, software, and IT services,” Treasury Secretary Janet Yellen said in a statement.

The Moscow Exchange, Russia’s top financial marketplace, announced it was halting trading of dollars and euros after being listed in the new sanctions.

Biden is also set to sign on Thursday a bilateral security agreement with Ukraine during his meeting with President Volodymyr Zelenskyy. The agreement is intended to show U.S. resolve to strengthen Ukraine’s defense and deterrence capabilities without committing American troops on the Ukrainian battlefield. The agreement would include Ukrainian commitment to reform and on end-use monitoring of U.S.-provided weapons.

It will be Biden’s second meeting with Zelenskyy in the span of days; the two met in Paris on the sidelines of the 80-year commemoration of D-Day last week.

Russian frozen assets

Zelenskyy will be urging G7 leaders to get behind Biden’s plan to provide Kyiv with a loan of up to $50 billion for Ukraine’s war efforts against Russia, amid Moscow’s strategic advances in the battlefield. The U.S. proposal would pay back Western allies using interest income from the $280 billion in Russian assets frozen in Western financial institutions, estimated at $3 billion a year, for 10 years or more.

The goal is a Leaders’ Declaration at the end of the summit, a “framework that is not generic, that is quite specific in terms of what it would entail,” Sullivan told VOA as he spoke to reporters in flight. However, “core operational details” would still need to be worked out. It’s unclear whether the loan will be provided by the G7 or only some of its members.

In April, Biden signed legislation to seize the roughly $5 billion in Russian assets that had been immobilized in U.S. financial institutions. But the bulk of the money, $190 billion, is in Belgium and much of the rest, is in France and Germany.

A big source of concern for Europeans is who will be responsible to cover losses should interest rates fall below expectations or if the sanctions that immobilize the funds are not renewed. Russia considers the immobilizing of its assets following its invasion on Ukraine as theft and has threatened retaliation.

Although Ukraine is not a G7 member, this is the second consecutive year Zelenskyy is attending the summit. From Italy, he heads to Switzerland for a Ukraine peace conference over the weekend.

EU puts tariffs on Chinese EVs

Biden imposed a drastic tariff hike in May to confront what he calls Chinese overcapacity in strategic green technologies and has been urging the G7 to do the same.

On Wednesday, the European Union responded to the call by announcing it would slap Chinese electric vehicles (EVs) with higher tariffs, up to 38.1%, saying the imports benefit “heavily from unfair subsidies” and pose a “threat of economic injury” to producers in Europe.

U.S. tariffs on Chinese EVs were quadrupled to a 100% rate, while solar cell and semiconductor import tariffs were doubled to 50%. The rates on certain steel and aluminum imports were tripled to 25%. The additional duties covered $18 billion in Chinese products.

Europe is taking action to address Chinese overcapacity just as the United States has done, Sullivan said. A “common framework” on how to deal with various economic security issues posed by China will likely be included in the G7 final communique, he added.

The punitive moves could prompt retaliation from Beijing, which accuses the West of hyping overcapacity claims to blunt China’s competitive edge.

Biden arrived on the global forum after a family drama. On Tuesday, a day before departing for the summit, his son Hunter Biden was found guilty on federal charges of possessing of a gun while being addicted to drugs.

Biden has said he would not use presidential powers to pardon his son. White House press secretary Karine Jean-Pierre declined to respond to further questions, including the possibility of commuting Hunter Biden’s sentence when it is given by the judge. 

US voices support for South Korean ‘balloon war’ efforts

Washington — The U.S. expressed its support for providing outside information to the people of North Korea even as attempts are made in South Korea to block leaflet campaigns aimed at sending information to the North.

Tensions on the Korean Peninsula have been rising in recent weeks due to tit-for-tat exchanges between Pyongyang and Seoul over balloons they both have been sending across the inter-Korean border.

Responding to an inquiry by VOA’s Korean Service, a State Department spokesperson said on Monday that “it is critical for the people of North Korea to have access to independent information not controlled by the DPRK regime.”

“We continue to promote the free flow of information into, out of, and within the DPRK,” continued the spokesperson, referring to North Korea by its official name, the Democratic People’s Republic of Korea.

“We continue to urge North Korea to reduce tensions and cease any actions that could increase the risk of conflict,” the spokesperson added.

North Korea, listed by Human Rights Watch among “the most repressive countries in the world,” considers outside information a threat to the ruling regime’s survival and denies its people access to information.

The government heavily controls all forms of media and cracks down on people distributing, watching or listening to any South Korean cultural content.

In what it said was a response to South Korean activists sending balloons carrying leaflets into the North, Pyongyang has floated more than 1,600 balloons filled with trash and waste into South Korea since May 28.

In response, Seoul on June 4 fully suspended an inter-Korean military deal made in 2018 and resumed loudspeaker broadcasts at the border Sunday before halting them the following day.

The South Korean balloons, sent aloft by human rights activists, have carried leaflets conveying information about the outside world and the North Korean regime. They also carried thumb drives containing K-pop songs and dramas.

But the effort has caused controversy in South Korea, where attempts are being made to halt the campaign.

In September 2023, the South Korean constitutional court struck down a law banning the sending of leaflets to North Korea, saying it violated the constitutional right to freedom of expression.

Nevertheless, the opposition Democratic Party of Korea is attempting to apply other existing laws to block the campaign.

The opposition party, preferring engagement with North Korea, has been opposed to sending leaflets to North Korea. The anti-leaflet law was passed in December 2020 by the liberal party of former President Moon Jae-in six months after North Korea, expressing discontentment over leaflet activities, blew up an inter-Korean liaison office in Kaesong, a town in North Korea near the border.

On Tuesday, Lee Jae-myung, the leader of the party, called leaflet activities “illegal under the current law.”

In June 2020, Lee, the then-governor of Gyeonggi Province, declared five cities in the province as “danger zones” under the Framework Act on the Management of Disasters and Safety. Gyeonggi Province borders North Korea.

Lee then issued an administrative order banning people from entering the areas to launch balloons.

Kim Dong-yeon, from the opposition party and the current governor of Gyeonggi Province, said on Wednesday a consideration is being made to declare some areas in the province “danger zones” to “prevent the launch of propaganda leaflets in accordance with related laws.”

He said he will “immediately dispatch provincial police to potential leaflet sites to bolster patrols and surveillance,” according to South Korea’s liberal daily Hankyore.

Questions have been raised in South Korea whether the police can stop leaflet-sending activities based on the Act on the Performance of Duties by Police Officers, according to Seoul-based news agency Yonhap. The act allows police to restrain people from causing damage to property or harm other people.

Yoon Hee-keun, National Police Agency commissioner, told reporters Monday that the leaflet campaigns cannot be blocked on the basis of that law.

He said this is because it is “unclear whether the trash-carrying balloons” sent by North Korea “would constitute an urgent and grave threat to the lives and bodies of the public, which is prerequisite for restricting them under the law.”

David Maxwell, vice president of the Center for Asia Pacific Strategy, told VOA on Tuesday via email that Seoul is “complying with the 2014 U.N. Commission of Inquiry that calls on people around the world to call out North Korea for its human rights abuses, one of which is the isolation of the people and the denial of all information going into the North.”

Bruce Klingner, senior research fellow at the Heritage Foundation, said, “The North Korean balloons are government actions and thus a violation of the armistice,” whereas balloons from the South are sent by non-government organizations.

Robert Rapson, who served as charge d’affaires and deputy chief of mission at the U.S. Embassy in Seoul in 2018-21, said while Seoul’s “decision to pause loudspeaker broadcasts” is “a positive step toward de-escalation, it should go further by also pausing balloon launches from the South.” 

Iran releases French citizen, says France’s Macron

BARI, Italy — French President Emmanuel Macron announced on Wednesday the release of Louis Arnaud, a French citizen who had been held in Iran since 2022 and who had been sentenced to five years in prison in November.

“Louis Arnaud is free. He will be in France tomorrow after a long incarceration in Iran,” Macron said on X, thanking Oman in particular for its role in obtaining his release. 

The release is rare positive news about France and Iran. 

Bilateral relations have deteriorated in recent months, with Tehran holding four French citizens — including Arnaud — in what Paris has said are arbitrary arrests equivalent to state hostage taking. 

France is also increasingly concerned by Iran’s regional activities and the advance of its nuclear program. 

Arnaud, who had been held since September 2022 after traveling in the country, was sentenced to five years in prison in November on security charges. He was held in Tehran’s notorious Evin prison. 

“This evening, I also think of Cecile, Jacques and Olivier,” the remaining French citizens held in Iran,” said Macron. “I am calling on Iran to liberate them without delay.” 

In recent years, Iran’s elite Revolutionary Guards have arrested dozens of dual nationals and foreigners, mostly on charges related to espionage and security. 

Rights groups have accused Iran of trying to extract concessions from other countries through such arrests. Iran, which does not recognize dual nationality, denies taking prisoners to gain diplomatic leverage. 

Southern African nations wary as UK’s Labor Party commits to hunting trophy ban

Gaborone, Botswana — Some Southern African countries pushing against the United Kingdom’s anti-hunting efforts suffered a blow when the Labor Party, expected to form the next government, committed last week to support a ban on hunting trophy imports.

Angola, Botswana, Namibia, South Africa, Zambia and Zimbabwe said in a joint statement that they are disappointed Britain’s Labor Party will attempt to ban hunting trophies.

The countries said, however, that unlike the Conservative government, the Labor Party has “at least pledged a full consultation on a policy with significant ramifications for conservation programs in our countries.”

Botswana, with the largest elephant herd in the world at more than 130,000, has been at the forefront of a campaign against efforts by the U.K. and other European nations to ban hunting trophies from Africa.

Adam Hart, a U.K.-based ecologist and conservation scientist specializing in southern Africa, told VOA he is disappointed with the Labor Party’s move.

“It shows that perhaps they have not listened to the sides that have gone in front of the Conservative Party, and they have not listened to the voices of the affected nations,” he said.

In its manifesto, the Labor Party says it will put forward a comprehensive plan to end animal cruelty that includes a ban on the import of hunting trophies from abroad.

“I think politicians see this as an easy win,” said Hart, who is a professor at the University of Gloucestershire. “It’s only when they start getting involved more with the issues that they realize that it is nowhere near as straightforward as they thought.”

He said the Labor Party must be honest in its consultation with the affected southern African countries.

“We have to give [the Labor Party] the benefit of the doubt and suggest that perhaps the consultation will be genuine,” he said. “Many people when they go into this debate think that they have the answers. They think that it’s a very … simple issue, that banning hunting trophies will save endangered species.

“Of course, once you start digging into the issue, you realize it’s much more complicated than that and that, in fact, it can have the opposite effect.”

Countries such as Botswana and Zimbabwe are pursuing alternative markets.

Botswana’s permanent secretary in the Ministry of Environment and Tourism, Boatametse Modukanele, said, “We are looking at the Middle East. We are also looking at the United Arab Emirates, as an example. We are looking at those countries because they also have a hunting culture, and they do not have the many restrictions that we have currently.”

US inflation cooled in May in sign that price pressures may be easing 

WASHINGTON — Inflation in the United States eased in May for a second straight month, a hopeful sign that a pickup in prices that occurred early this year may have passed. The trend, if it holds, could move the Federal Reserve closer to cutting its benchmark interest rate from its 23-year peak.

Consumer prices excluding volatile food and energy costs — the closely watched “core” index — rose 0.2% from April to May, the government said Wednesday. That was down from 0.3% the previous month and was the smallest increase since October. Measured from a year earlier, core prices rose 3.4%, below last month’s 3.6% increase.

Fed officials are scrutinizing each month’s inflation data to assess their progress in their fight against rising prices. Even as overall inflation moderates, such necessities as groceries, rent and health care are much pricier than they were three years ago — a continuing source of public discontent and a political threat to President Joe Biden’s re-election bid. Most other measures suggest that the economy is healthy: Unemployment remains low, hiring is robust and consumers are traveling, eating out and spending on entertainment.

Overall inflation also slowed last month, with consumer prices unchanged from April to May, in part because of sharp falls in the cost of gasoline, air fares and new cars. Measured from a year earlier, consumer prices rose 3.3%, less than the 3.6% increase a month earlier.

The cost of auto insurance, which has soared in recent months, actually dipped from April to May, though it’s still up more than 20% from a year earlier. Grocery prices were unchanged last month, after declining slightly in April. They’re now up just 1% on a year-over-year basis.

The Fed has kept its key rate unchanged for nearly a year after having rapidly raised it in 2022 and 2023 to fight the worst bout of inflation in four decades. Those higher rates have led, in turn, to more expensive mortgages, auto loans, credit cards and other forms of consumer and business borrowing. Though inflation is now far below its peak of 9.1% in mid-2022, it remains above the Fed’s target level.

Persistently elevated inflation has posed a vexing challenge for the Fed, which raises interest rates — or keeps them high — to try to slow borrowing and spending, cool the economy and ease the pace of price increases.

The longer the Fed keeps borrowing costs high, the more it risks weakening the economy too much and causing a recession. Yet if it cuts rates too soon, it risks reigniting inflation. Most of the policymakers have said they think their rate policies are slowing growth and should curb inflation over time.

Inflation had fallen steadily in the second half of last year, raising hopes that the Fed could pull off a “soft landing,” whereby it manages to conquer inflation through higher interest rates without causing a recession. Such an outcome is difficult and rare.

But inflation came in unexpectedly high in the first three months of this year, delaying hoped-for Fed rate cuts and possibly imperiling a soft landing.

In early May, Chair Jerome Powell said the central bank needed more confidence that inflation was returning to its target before it would reduce its benchmark rate. Several Fed officials have said in recent weeks that they needed to see several consecutive months of lower inflation.

Some signs suggest that inflation will continue to cool in the coming months. Americans, particularly lower-income households, are pulling back on their spending. In response, several major retail and restaurant chains, including Walmart, Target, Walgreen’s, McDonald’s and Burger King, have responded by announcing price cuts or deals.

Georgia’s protesters vow to stay on streets until government falls

Tbilisi, Georgia — Protesters in Georgia have vowed to continue anti-government demonstrations driven largely by the so-called “foreign agent” law that took effect last week.

Thousands of people have taken to the streets of the Georgian capital, Tbilisi, in the past two months to protest the law, which critics have compared to similar measures in Russia. Many of the demonstrators carry European Union and Georgian flags, while others wave the Ukrainian colors in solidarity with Kyiv following its 2022 invasion by Moscow.

Protesters beaten

Among the most well-known figures at the demonstrations is David Katsarava, a prominent activist who monitors Russian activities in parts of Georgia occupied by Moscow’s forces since its 2008 invasion of the country.

On May 14, Katsarava was detained by Georgian special forces outside parliament. He says he was severely beaten at least five times in detention, suffering extensive injuries including a broken jaw and eye socket. He was released without charge the following day. The government says it is investigating his treatment.

At his home in the suburbs of Tbilisi, Katsarava told VOA that the protests must go on – and he will rejoin them in the coming days.

“We have now the changed reality and we must continue fighting. Georgia has changed and changed its direction to Russia. We must fight until to the end because otherwise if we stop, if we will be scared and we will stay at home, so that will be a finish for free Georgia. And Georgia then becomes Belarus or some branch of Russia or something like this,” he said.

Foreign agent

The new law requires any organization receiving more than 20 percent of its funding from overseas to register as a “foreign agent.” Critics have compared it to Russian legislation and say it is aimed at stifling scrutiny and criticism of the government by media and non-governmental organizations ahead of elections scheduled in October.

The law’s supporters say it is aimed at ensuring transparency.

“It doesn’t make sense why the state budget should be transparent — but any funding from foreign sources should not be transparent in the same way,” said Fridon Injia, an member of parliament with the European Socialists party, which is closely aligned to the ruling Georgian Dream party.

The European Union has warned that the foreign agent law is incompatible with Georgia’s EU membership aspirations. Last week, the United States imposed sanctions on several Georgian lawmakers who supported the legislation.

October elections

The demonstrators insist they will continue their action until the October elections — with the aim of toppling the government, which is led by the Georgian Dream political party and widely seen as increasingly pro-Russian.

Giga Bokeria, chairman of the “European Georgia” party and a member of the government from 2010 until 2013, compared the coming months to the fall of the Soviet Union, when Georgia regained its independence.

“We have elections in October. These protests will continue until then. And our goal will be just like 30 years ago — to achieve a fundamental change. And this fundamental change is to remove the government, which is a proxy of the enemy of our sovereignty [Russia] and enemy of our liberty inside the country.”

EU support

Polls conducted before the foreign agent law took effect suggest around 80 percent of Georgians support EU membership.

At a recent protest outside parliament, many demonstrators vowed to stay on the streets until the election.

“No matter that the law is already in place, we keep on protesting. Because we want that Europe sees our approach and they support us,” said student Elene Ramishvili.

“There’s a big chance that [the government] will try to fake the results of the elections and we’ll have to be ready for the action, in case this happens,” fellow protester Giorgi Japiashvili told VOA.

Katsarava called on Europe and the U.S. to do more. “I would like to appeal to our Western partners and our friends to please support us,” he said. “We need quick support. And without you, we all will lose Georgia as a free country.”

Georgia’s protestors vow to stay on streets until government falls

Thousands of people have taken to the streets of the Georgian capital, Tbilisi, in recent weeks to protest a new ‘foreign agent’ law, which critics have compared to similar legislation in Russia. The law is now in force – but its opponents have vowed to continue their demonstrations until crucial elections scheduled for later this year. Henry Ridgwell reports from Tbilisi.

Verdict due in Dutch crime reporter’s killing

The Hague — A Dutch court will on Wednesday hand down a long-awaited verdict over the 2021 assassination of high-profile crime journalist Peter R. de Vries, a killing that shocked the country.

De Vries was gunned down in broad daylight on a busy Amsterdam street in July 2021, sparking an outpouring of grief and spotlighting the country’s drug gang underworld.

Authorities believe gunmen targeted De Vries, 64, due to his role as advisor to a key witness in the case of drug kingpin Ridouan Taghi.

Police arrested two suspects, identified only as Dutchman Delano G. and Kamil E. from Poland, shortly after the shooting. Prosecutors have called for a life sentence.

Prosecutors believe Delano G. pulled the trigger and Kamil E. drove the getaway car and carried out surveillance prior to the shooting.

Seven men suspected of organizing and facilitating the killing have been added to the trial.

All nine suspects either denied the charges or invoked their right to silence. Hearings have taken place in an extra high security “bunker” at the court in Amsterdam.

A video showing De Vries seriously injured circulated after the attack. Partly because of this, prosecutors charged the suspects with “murder with terrorist intent.”

Thousands of mourners filed past his coffin in Amsterdam following his death, paying respect to a journalist described as a “national hero.”

‘Narco-state’

De Vries first shot to prominence as an intrepid crime reporter for the daily newspaper De Telegraaf — writing a best-selling book about the 1980s kidnapping of beer millionaire Freddy Heineken.

The book was later turned into a 2015 movie “Kidnapping Freddy Heineken”, starring Anthony Hopkins in the title role.

The celebrity journalist then moved into television, where he ran his own crime program called “Peter R. de Vries, Crime Reporter.”

De Vries won international renown in 2008 after winning an Emmy Award for his coverage of the disappearance of US citizen Natalee Holloway on the Caribbean island of Aruba.

From 2020, he was an advisor and confidant of Nabil B., the main prosecution witness in the case against Taghi, described as the country’s most wanted criminal.

De Vries revealed in 2019 that authorities had informed him he was on a hit-list drawn up by Taghi, who in February received a life sentence over a series of murders committed by his gang.

Nabil B.’s brother Reduan was killed in 2018, and his lawyer Derk Wiersum was shot dead in 2019.

Together with the assassination of De Vries, the three killings together sparked warnings that the country was becoming a “narco-state.”

The threat touched the top levels of Dutch society.

Crown Princess Amalia, the daughter of King Willem-Alexander, was forced to move to Spain for her studies due to fears of an attack from an organized crime group.

Both the royal and Prime Minister Mark Rutte were mentioned in messages by organized crime groups, raising fears of plans to kidnap or attack them.

At G7, Biden to push plans for frozen Russian assets, Chinese overcapacity

At the Group of Seven summit this week, U.S. President Joe Biden will seek agreement on using interest from frozen Russian assets to aid Ukraine’s war effort. He will also push for unity in tackling global challenges such as infrastructure funding, artificial intelligence, and Chinese overcapacity in green technologies. However, as White House Bureau Chief Patsy Widakuswara reports, a shift right in the European political landscape could complicate his plans.