Yesterday (Thursday), EU leaders met in Brussels to debate a bold plan: using frozen Russian central bank assets as collateral to lend Ukraine a €90 billion boost 💸. This could cover about two-thirds of Kyiv’s funding needs for 2026–27.
The plan in a nutshell:
- Tap into €210 billion of Russian assets frozen in Euroclear, a Belgian clearing house, instead of waiting for interest.
- Provide a €90 billion loan to Ukraine; repayment kicks in if Russia ever pays war reparations.
- Currently, Ukraine only accesses the interest generated by these frozen assets.
Frozen assets 101:
- Total global frozen Russian assets: ~€300 billion, with €210 billion under EU jurisdictions.
- Of that, €180 billion sits at Euroclear in Brussels; the rest is held in the US, UK, Japan, Switzerland, and Canada.
Even with the proposal on the table, agreement is far from certain 🤔. Legal hurdles and differing views among member states could delay or derail the deal.
The summit marked a critical test of EU unity and resolve. With Russia’s campaign seen as a direct threat to European security, backing Ukraine isn’t just about finances—it’s a show of strength and solidarity 🌍💪.
Reference(s):
EU plan to use frozen Russian assets to fund Ukraine: what's at stake?
cgtn.com
