European Commission: Frozen Russian assets are the best way to finance Ukraine

She saw the European Commission Ursula von der Leyen said that the use of frozen Russian assets in Europe represents… "The most effective way" To finance Ukraine during the next two years, while the Nordic and Baltic countries announced that they would contribute $500 million to a plan drawn up to purchase American weapons for Kiev.

Von der Leyen said in a speech before the European Parliament in Brussels: "We give Ukraine a loan, which you will repay if Russia pays reparations. This is the most effective way to support Ukraine’s defense and economy."

This loan, amounting to 140 billion euros, will be granted through the use of the assets of the Russian Central Bank, most of which is deposited with a company. "Euroclear" Which is headquartered in Belgium, and the total of these assets amounts to about 210 billion euros.

Ukraine Financing

Von der Leyen explained that this solution represents "The most obvious way to make Russia understand that time is not on its side is to prove, if necessary, that we are ready for a long-term commitment."

The use of Russian assets is one of the three options proposed by the European Commission to finance European support for Ukraine, which will run out of financial resources as of the first quarter of 2026, for reasons including the cessation of American support.

The European Union countries have committed to providing this financing, but the options are limited, and the first two options are very expensive.

Ursula von der Leyen stressed that member states have no other choice, but to finance Ukraine directly themselves. Or allowing the European Union to borrow from the markets, but several countries in the Union, including Germany and France, reject these two solutions.

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