EU considers frozen Russian assets as source of funding for Ukraine – Bloomberg
The European Union is increasingly leaning toward using frozen Russian assets to finance Ukraine as other sources of support are running dry.
Bloomberg reported this, citing informed sources, according to Censor.NET.
According to the sources, the EU aims to reach political agreement on using the assets to grant Ukraine a "reparations loan" at the upcoming leaders’ summit in Brussels next week. The European Commission then plans to present a legal proposal on the mechanism for releasing the funds by the second quarter of next year.
The urgency of the decision stems from the fact that much of the burden of financing Ukraine’s military and economic needs now falls on Europe, as the United States has announced it will stop funding weapons for Kyiv. Several EU member states are also facing political and budgetary crises, complicating a swift response.
Under the EU’s plans, Ukraine could receive around €140 billion in new loans backed by frozen Russian assets. The repayment would occur only if Russia agrees to pay reparations for war damages. Experts estimate that Kyiv may need more than $200 billion to sustain its defense and finances through the end of the decade.
EU member states are also discussing the loan conditions, whether the funds should be directed toward Ukraine’s military needs, economic objectives, or both, as well as the share of financing for supplies from Europe and other countries.
