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European Council: Keep Russian assets frozen until end of war, pay reparations

European Council: Keep Russian assets frozen until end of war, pay reparations

The European Council has decided to keep Russian assets frozen until Moscow ceases its full-scale war on Ukraine and pays for damages. Estimates suggest damages could be as high as $486 billion. European countries hold $300 billion in Russian assets, with plans to use profits for Ukraine’s reconstruction.

EU ambassadors approved a $37.2 billion loan for Ukraine, part of a larger $50 billion aid package to counter Russian aggression. The loan will be repaid using profits from Russia’s frozen assets, offering Ukraine flexibility in spending. The distribution of funds is expected to begin early next year. The World Bank has approved funding for the G7 loan, backed by interest from frozen Russian assets.

This move supports Ukraine in tackling the renewed Russian offensive that has destroyed its power infrastructure. The EU remains committed to supporting Ukraine in rebuilding and addressing legal and financial aspects related to the conflict.

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