EU provides Ukraine with new tranche of 6 billion euros from proceeds of frozen Russian assets - von der Leyen
Ukraine will receive €6 billion from the European Union from the proceeds of Russia's frozen assets. The funds will be used to restore energy infrastructure and stabilize the power grid.
This was stated by European Commission President Ursula von der Leyen, according to Censor.NET, citing the press service of the European Commission.
"In just one day last week, Russia launched more than 40 ballistic and cruise missiles, as well as nearly 500 drones, targeting Ukraine's energy infrastructure. Two large power plants were destroyed," the head of the European Commission said.
According to her, the European Union will allocate nearly €6 billion today as part of the ERA loan and the Ukraine Support Fund.
Europe will continue to strengthen Ukraine's resistance. We will compensate for the damage caused by Russian strikes. We will stabilize Ukraine's power grid by exporting more than 2 gigawatts of electricity to Ukraine. And we will protect critical infrastructure. This winter will determine the future of the war," von der Leyen added.
Russian assets to help Ukraine
- Earlier, European Commission President Ursula von der Leyen proposed using frozen Russian assets as collateral for providing Ukraine with "reparation loans". Formally, Russian assets subject to sanctions will not be confiscated, but Ukraine will repay such loans only after Russia pays reparations.
- According to various estimates, the European Union's "reparations loan" to Ukraine, secured by Russian assets, could amount to €130-140 billion. Its final size will be determined after the International Monetary Fund assesses Ukraine's financing needs in 2026 and 2027.
- In total, Euroclear currently holds more than €175 billion in cash from frozen Russian assets, which could be used to secure a new loan. But before the EU agrees to grant a reparations loan, it will want to repay the G7 loan to Ukraine of €45 billion ($50 billion) agreed last year, which was to be repaid from the proceeds of frozen Russian assets.
