This move will provide Ukraine as much as €3 billion ($3.3 billion) this year, 90% of which will go to Ukraine’s military, Czech Foreign Minister Jan Lipavsky
wrote on the social media platform X.
About $280 billion in assets have been immobilized by the Group of Seven nations since Russia’s 2022 invasion of Ukraine, with more than two-thirds of those held in the EU. The vast majority of the funds has been held through the Belgium-based settlement giant Euroclear, where they have generated about €3.9 billion in net profit since last year.
Under the EU’s plans, Ukraine will receive the net profits from Feb. 15 onwards. Some €159 billion of frozen Russian assets have generated a
net profit of €557 million from that date, according to Euroclear’s first quarter financial results.
Profits before the Feb. 15 date will be retained by Euroclear to handle any risks such as those deriving from legal action in Russia. The EU plan also includes a mechanism to allow the clearing house to retain more funds should those resources prove insufficient to manage any sudden and unexpected risks.
The adoption of the proposal by EU affairs ministers in Brussels comes after months of haggling between member states amid worries about possible legal challenges, retaliation from Russia and risk to the stability of the euro.
The assets are expected to generate about €5 billion a year, with Ukraine receiving the aid twice a year.