The European Union is actively discussing the possibility of using around €140 billion of frozen Russian assets to support Ukraine in its confrontation with Russia. The main goal is to ensure funding for the procurement of weapons by the Ukrainian side.
This is reported by Business • Media
European Initiative for a “Reparations Loan”
European leaders are increasingly supporting the idea of providing Ukraine with a so-called “reparations loan” at zero percent interest, which would allow Kyiv to purchase weapons from European manufacturers. The proposal by German Chancellor Friedrich Merz to mandate that these funds be used specifically for European armaments has gained widespread support among EU countries. In an effort to reach a compromise with France, the European Commission has promised that part of the loan will be directed towards purchases “in Europe and with Europe.”
Positions of Individual Countries and US Initiatives
Sweden and Finland emphasize the need to immediately begin preparatory work for the implementation of payments, stressing that delays could lead to strategic losses for Ukraine. Furthermore, without systematic funding, Ukrainian military and civilian structures risk facing operational disruptions.
In the United States, senators have proposed a resolution calling on G7 and EU countries to confiscate Russian assets and transfer $10 billion monthly to Ukraine from these funds. Meanwhile, Moscow has labeled such plans as “illegal” and threatened “responsibility” for such actions.
“Action should be taken immediately,” as delays in action will incur strategic costs. Additionally, without a predictable flow of funding, Ukraine’s military and civilian institutions risk becoming vulnerable to disruptions.