The European Union has already created a mechanism for providing Ukraine with profits from frozen Russian assets. Kyiv will be able to receive part of the funds already in July 2024.
Ukraine can count on profits from the Russian frozen assets
According to Bloomberg insiders, the proposals of the EU countries include a tax on profits from frozen reserves with the aim of using about 3 billion euros per year to finance the supply of arms to Ukraine and the development of its defense industry.
What is essential to understand is that about 260 billion euros of assets of the Russian Central Bank, mainly in the form of securities and cash, were frozen by the G7 countries, the EU and Australia.
In addition, it is emphasised that more than two-thirds of them are blocked in the European Union.
As of today, official Brussels is proposing that an as-yet-undetermined share of revenues received since Feb. 15 be transferred to the EU twice a year until the sanctions are lifted.
According to journalists, the funds will initially be directed to the European Peace Facility and the "Ukraine" fund in the EU budget.
Soon, EU leaders will come together again to discuss this issue again.
There is still no final EU decision regarding Russian frozen assets
According to Radoslaw Sikorski, the head of Polish diplomacy, the European Union could make a "political decision, but not a legal one.
I can't say there was unanimity, but there was a solid consensus to make this decision.
Josep Borrell
Head of the EU Foreign Policy Department
However, according to publication insiders, some European Union member states are highly reluctant to support using frozen funds to provide military support to Ukraine.
It is worth noting that their position can slow down the final decision process.
