Japan signed a ¥13 billion ($100 million) loan agreement with Ukraine on Monday, offering financial assistance as the country faces an economic crisis due to Russia's invasion.

The aid will be cofinanced with the World Bank and incorporated into the Ukrainian government's budget, the Japan International Cooperation Agency said. Ukraine will not use the funds for military purposes.

The loan is aimed at "fostering de-monopolization and anti-corruption institutions, strengthening land and credit markets, and bolstering the social safety net," JICA said.