EU's Plan to Use Russian Money for Ukraine Hits Roadblocks

The European Union is moving closer to a decision on how to utilize frozen Russian assets to support Ukraine. However, significant hurdles remain, and a final agreement might not be reached until Thursday's EU summit.

Frozen Assets Overview

• Total Frozen Assets: Around 210 billion euros
• Major Holders:
• Belgium: 185 billion euros
• France: 18 billion euros
• Other Countries: Luxembourg, Germany, and Sweden

Key Issues and Concerns

• Initial Plan: Use assets starting in 2026
• Belgium's Concerns:
• Wants other EU countries to share financial risks if Russia sues
• Seeks guarantees from other EU governments to cover potential financial fallout
• European Commission:
• Wants 18 EU countries to withdraw from bilateral investment treaties with Russia
• These treaties could challenge EU sanctions and asset usage
• France's Demand:
• Ukraine should buy defense equipment only from European suppliers
• Part of the Reparations Loan plan, preferred by most EU countries

Ukraine's Perspective

• Ukraine's President: Urges European leaders to stand united
• Critical Support: Emphasizes Ukraine's need for this support to continue fighting against Russia's invasion

Conclusion

The EU's decision on these frozen assets is crucial for Ukraine's ability to sustain its defense against Russia's invasion.