The Member States of the European Union have agreed to use approximately €3 billion in profits from Russia’s frozen assets to buy weapons for Ukraine. This agreement involves profits from Belgium’s central securities depository Euroclear, which holds about €190 billion in Russian central bank assets. The funds will be transferred biannually to the EU, starting in mid-2024, with 90% allocated for military equipment for Ukraine and 10% for reconstruction. This decision follows a rejection by some EU members of a more radical proposal to confiscate the principal amount of frozen Russian assets, citing potential legal and financial issues. The U.S. has proposed a separate plan to support Ukraine through future Russian asset profits, but the EU has deemed it too complex.
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