EU seeks way to use Russian assets to support Ukraine, taking into account Belgium’s risks - Kallas
The EU's top diplomat, Kaja Kallas, said she understood Belgium's concerns about a "reparation loan" to Ukraine using Russian assets, and that the EU would seek solutions that would take these risks into account.
This was reported by Censor.NET with reference to European Truth.
Kallas said that the idea of a "reparation loan" was fair and necessary. According to her, this step should demonstrate Russia's responsibility for the damage caused and, at the same time, become a signal of support for Ukraine.
"The basic signal is that Russia is responsible for the damage it caused in Ukraine... (This decision) will send three very important signals. The first is to Ukraine, that we are helping them defend themselves. The second is to Russia, that they will not be able to "wait it out". And the third is to America, to demonstrate that we ourselves are taking very important steps," Kallas said.
She added that all EU countries agree: no state should be left alone with the risks. Therefore, according to the diplomat, the Union will seek a mechanism that will provide Belgium with the necessary legal guarantees.
"Everyone agrees that no country should bear all the risks alone. So if we need to develop a mechanism so that Belgium has the assurances it needs, then we need to work on it," the EU's top diplomat noted.
As a reminder, Belgian Prime Minister Bart de Wever outlined three key conditions for supporting the idea of a "reparation loan" for Ukraine using frozen Russian assets.
What is a reparation loan?
A reparations credit or loan is a new financial instrument that is currently being actively discussed in the EU and G7 countries as a mechanism to help Ukraine by using frozen Russian assets.
The main source of funds is about $300 billion in Russian state assets frozen worldwide (about $200 billion of which is in the EU).
The EU is considering an option where the profits from these assets (about 3–5 billion euros annually) would go towards debt servicing (i.e. paying interest and part of the loan principal).
The attitude of other countries towards the reparation loan to Ukraine
Italian Prime Minister Giorgia Meloni said the European Union is considering possible initiatives to use frozen Russian assets to help Ukraine. She noted that Italy is not the only country that believes that when it comes to using frozen Russian assets, "international rules and the principle of legality must be respected."
EU ambassadors have informally agreed on draft conclusions for a European Council meeting that will consider using frozen Russian assets to provide a so-called "reparation loan" for Ukraine at a meeting on Thursday.
The United States has told European partners that it does not yet plan to join the G7 initiative to use frozen Russian assets for the benefit of Ukraine.
