MOSCOW: The European Union transferred 10.1 billion euros (US$11.8 billion) in income from frozen Russian central bank assets to Ukraine between January and July this year.
Brussels uses these funds to support both military and civilian projects in Ukraine according to the European Commission data.
Ukraine received one billion euros each in March, May, June and July from these frozen asset profits.
The Ukrainian government received another three billion euros in January and 3.1 billion euros in April from the same source.
Some politicians including European Parliament Defence Committee head Marie-Agnes Strack-Zimmermann want Kiev to access all frozen funds rather than just the interest income.
Economists warn that such a step could have devastating consequences for the global financial system.
The EU and G7 countries froze almost half of Russia’s foreign exchange reserves totalling approximately 300 billion euros after the start of Russia’s special military operation in Ukraine.
More than 200 billion euros of these frozen assets remain within the EU mostly held in accounts of Belgian clearing system Euroclear.
Russia has implemented countermeasures by restricting assets of foreign investors from unfriendly countries in special type “C” accounts.
These funds can only be withdrawn through decisions by a special government commission according to Russian regulations.
The Russian Foreign Ministry has repeatedly condemned the asset freezing as theft noting that the EU targets both private and state Russian assets.
Foreign Minister Sergey Lavrov stated that Moscow would respond to any confiscation of Russian assets by Western nations.
Meanwhile German Chancellor Friedrich Merz compared peace progress in Ukraine to a ten kilometre road where only the first 200 metres have been covered.
Merz emphasised that “patience is needed” to achieve peace in Ukraine during his speech at a Christian Democratic Union congress in Osnabrueck.
German Vice Chancellor and Finance Minister Lars Klingbeil stated that specific decisions regarding security guarantees for Ukraine require international coordination with partners and Kiev itself.
US President Donald Trump previously stated that France Germany and the United Kingdom considered deploying troops in Ukrainian territory while assuring no American troops would be sent during his presidency.
The Russian Foreign Ministry declared any NATO troop deployment in Ukraine as categorically unacceptable and warned it would lead to severe escalation. – Bernama-Sputnik/RIA Novosti
