Explainer-How does the EU want to use Russia's frozen assets for Ukraine?


  • World
  • Wednesday, 24 Sep 2025

FILE PHOTO: U.S. dollar banknotes and Russian flag with words "$300 billion frozen assets" are seen in this illustration taken, February 21, 2025. REUTERS/Dado Ruvic/Illustration/File Photo

BRUSSELS, Dec 12 (Reuters) - The European Union is searching for a way to finance Ukraine's defence and budget needs in 2026 and 2027 with Russian central bank assets immobilised in the West after Moscow's invasion.

Under international law, sovereign assets cannot be confiscated, so the European Commission has put forward a plan to allow EU governments to use up to 165 billion euros - most of the 210 billion euros worth of Russian sovereign assets currently frozen in Europe - without confiscating them.

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