BRUSSELS (AP) — The European Union on Friday indefinitely froze Russia’s assets in Europe to ensure that Hungary and Slovakia, both with Moscow-friendly governments, can’t prevent the billions of euros from being used to support Ukraine.
Using a special procedure meant for economic emergencies, the EU blocked the assets until Russia gives up its war on Ukraine and compensates its neighbor for the heavy damage that it has inflicted for almost four years.
EU Council President António Costa said European leaders had committed in October “to keep Russian assets immobilized until Russia ends its war of aggression against Ukraine and compensates for the damage caused. Today we delivered on that commitment.”
It’s a key step that will allow EU leaders to work out at a summit next week how to use the tens of billions of euros in Russian Central Bank assets to underwrite a huge loan to help Ukraine meet its financial and military needs over the next two years.
“Next step: securing Ukraine’s financial needs for 2026–27,” added Costa, who will chair the Dec. 18 summit.
The move also prevents the assets, estimated to total around 210 billion euros ($247 billion), from being used in any negotiations to end the war without European approval.
A 28-point plan drafted by U.S. and Russian envoys stipulated that the EU would release the frozen assets for use by Ukraine, Russia and the United States. That plan, which surfaced last month, was rejected by Ukraine and its backers in Europe.
Hungary and Slovakia object
The vast majority of the funds — around 193 billion euros ($225 billion) at the end of September — are held in Euroclear, a Belgian financial clearing house.
The money was frozen under sanctions that the EU imposed on Russia over the war it launched on Feb. 24, 2022, but these sanctions must be renewed every six months with the approval of all 27 member countries.
Hungary and Slovakia oppose providing more support to Ukraine, but Friday’s decision prevents them from blocking the sanctions rollover and make it easier to use the assets.
