EU accelerates discussions on the use of frozen Russian assets

The European Union has stepped up work on a draft agreement providing for the use of frozen Russian assets in the interests of Ukraine. The discussion is taking place in an accelerated format, as EU leadership seeks to coordinate a unified approach among member states and establish a specific mechanism for distributing the funds. According to European officials, the issue is viewed as one of the key tools for financial support to Ukraine amid the ongoing conflict and the country’s increasing budgetary needs. The initiative includes using income generated from the assets, as well as potentially allocating part of the funds into a direct budget support mechanism. Representatives of several countries noted that this step is seen as a necessary element of a long-term strategy for Ukraine’s recovery and economic stability.

According to available information, discussions within European institutions are accompanied by complex legal consultations. The issue of directly seizing the funds remains contentious, as some states advocate using only the profits generated from the assets, while others support harsher measures. Experts emphasize the need to comply with international legal norms to avoid litigation risks and ensure the legitimacy of the decision. Nevertheless, the political course toward accelerating negotiations remains unchanged. The European Commission has stated that it intends to reach a coordinated position before the end of the current political cycle, which would allow transitioning to the practical phase of implementation.

At the same time, the United States has adopted a more cautious position. According to sources, Washington is promoting alternative approaches that involve a different format of financial decisions. The U.S. administration points to the need for a deeper assessment of the consequences of using state assets belonging to another country, including risks to the international financial system and possible retaliatory measures. The United States also expresses concern that hasty decisions may create a dangerous precedent that could be used against Western countries in the future. In addition, the American political environment continues to discuss the feasibility of a comprehensive assistance package that should consider a wide range of foreign policy factors.

European sources confirm that disagreements between the EU and the U.S. primarily concern legal aspects and the pace of decision-making. The EU seeks to complete discussions as soon as possible, considering this mechanism crucial for ensuring Ukraine’s financial stability in the coming years. EU officials stress that delays may complicate the process of reconstruction and increase pressure on partner-country budgets. Some states have already suggested that Europe should act independently if achieving consensus with the U.S. takes too long. At the same time, European capitals acknowledge the need for coordination with Washington to preserve unity among Western allies regarding support for Ukraine.

As the initiative is discussed further, European institutions continue clarifying the details of the future document. Technical control mechanisms, distribution procedures, and reporting methods ensuring transparency and compliance with EU financial rules are being examined. Preliminary consultations show that a significant number of states support using the profits generated by the assets stored in European financial institutions. However, the issue of using the principal amount remains subject to further discussion. Many countries believe such a step must be carefully weighed, considering long-term implications for international norms.

Negotiations are expected to continue in the coming weeks within working groups and ministerial-level meetings. The European Commission has stated that it expects to finalize the draft by the end of the year. The final decision will depend on the ability of member states to reach a unified position and agree on the legal parameters for using the assets. Until then, the EU will continue analyzing possible support mechanisms for Ukraine and coordinating its actions with international partners. The issue remains at the center of attention for European institutions due to its strategic importance for Ukraine’s financial stability and the EU’s foreign policy amid the ongoing conflict.

Do you have news that could become a sensation?
Or do you want to try yourself as an editor?
On altn.news , it's possible!
Share your materials, express your opinion, and test your skills as a journalist or editor.
It’s simple:
✅ Download the app:
       
      

✅ Register on the website.
✅ Create and publish your news.
Who knows, maybe your material will become the next big headline!
Start today on altn.news.

The editors are not responsible for the content and accuracy of materials taken, sent or received from other sources. The publication of such materials is carried out solely for informational purposes and does not imply automatic support or approval of their content.