EU Transfers Frozen Russian Assets to Aid Ukraine’s Defence

The European Union will transfer 1.5 billion euros from frozen Russian assets to support Ukraine. This decision is part of a broader strategy involving the G7 to channel interest earned from frozen Russian assets into a $50 billion loan, backing Ukraine’s defence and reconstruction. Russia has vowed legal action.

The European Union is set to transfer 1.5 billion euros, generated from frozen Russian assets, to Ukraine, European Commission President Ursula von der Leyen announced on Friday.

Following Russia's invasion of Ukraine in February 2022, Western nations froze approximately $300 billion in Russian sovereign assets. Recently, the Group of Seven (G7) major democracies and the EU decided to utilize the interest accrued from these assets to fund a $50 billion loan for Ukraine's defence and reconstruction. Russia has threatened legal action in response.

On social media platform X, von der Leyen stated, 'Today we transfer 1.5 billion euros in proceeds from immobilised Russian assets to the defence and reconstruction of Ukraine. There is no better symbol or use for the Kremlin’s money than to make Ukraine and all of Europe a safer place to live.' Ukrainian Prime Minister Denys Shmyhal expressed gratitude, acknowledging the EU's crucial support in building a safer, more resilient Europe.