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The European Union has concluded an agreement on using profits from frozen Russian assets to help Ukraine

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File photo: European Union flags in front of the European Commission headquarters in Brussels, Belgium, on March 1, 2023. REUTERS/Joanna Giron/File photo

The European Union countries announced, on Tuesday, that they had reached an agreement to use… Profits generated from frozen Russian assets To provide military support to Ukraine and help rebuild the country from the ravages of war.

The European Union is seizing about 210 billion euros ($225 billion) of Russian Central Bank assets, most of which are frozen in Belgium, in response to Moscow’s war against Ukraine. Calculate that interest on that money can Saving about 3 billion euros ($3.3 billion) every year.

Ukraine is in dire need of weapons and ammunition while Russia asserts its military superiority.

The European Union headquarters said that 90% of the money will be placed in a special fund known as… European Peace Fund Which many European Union countries are already using to obtain compensation for the weapons and ammunition they send to Ukraine.

The remaining 10% will go to the European Union budget. Programs financed with these funds would help strengthen the Ukrainian defense industry or aid in the country’s reconstruction, should some countries object to using their share for military purposes.

A small group of member states, Hungary, for example, refuses to supply weapons to Ukraine.

The first tranche of funds may be available in July, officials said.

This Monday, US Treasury Secretary Janet Yellen indicated that was the case ‘Vital and urgent’ That the United States and its allies find a way to benefit from this crisis Frozen Russian assets To help Ukraine.

09/11/2022 A Ukrainian soldier in front of an armored vehicle Politics Europe Ukraine Ukraine State Security Service of Ukraine

Excerpts from his speech, delivered on Tuesday in Frankfurt, come as financial leaders from the Group of Seven industrialized nations meet later this week.

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The US government said on Monday that G7 allies are enthusiastic about the US plan that could raise about $50 billion for Ukraine. Financial Times.

Plan A includes: The G7 loan is backed by future earnings of about $350 billion in Russian assets The report added that those who were paralyzed after Moscow’s invasion of Ukraine.

He assured the agency that the American plan would serve as a basis for the G7 discussions France Press agency Source for the Italian treasury.

to Italy holds the presidency of the G7 This year, the proposal is considered an “interesting way forward” and should be explored further.

However, any decision needs the support of the European Union and a solid legal basis, and will only be announced when the G7 leaders meet. in JuneThe source said.

If we stay still While dictators violate territorial integrity “They ignore the rules-based international order, and have no reason to stop at their initial goals,” Yellen said in excerpts from her speech.

He added: “I believe it is necessary and urgent that we collectively find a way to unlock the value of Russian sovereign assets linked to our jurisdictions for the benefit of Ukraine.”

“This will be a major topic of conversation during the G7 meetings this week,” Yellen added.

Asked about the details of the $50 billion aid package, a senior US Treasury official told reporters on Friday, “We are certainly trying to move forward on this issue,” without committing to details.

Yellen said, in prepared remarks, that the countries “We must continue to crack down on Russian sanctions evasion, including through third parties.”And sensitive goods originating in the United States and Europe.

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(With information from AP)

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