EU takes another step towards using frozen Russian assets in Ukraine's favour

Permanent representatives of the EU countries at a meeting on 29 January coordinated the creation of a separate account to which the interest from taxed income of frozen Russian assets will be transferred.

Source: European Pravda with reference to Rikard Jozwiak, Brussels correspondent of Radio Liberty; later the information was officially confirmed by the Belgian leadership of the EU Council 

The Belgian chairmanship stated without going into detail that the EU ambassadors "agreed in principle on a proposal on the use of windfall profits related to immobilised assets to support Ukraine’s reconstruction".

Details: Jozwiak stated that the EU ambassadors greenlit the first step on the path towards using frozen Russian assets in favour of Ukraine – "putting aside proceeds of frozen Russian assets in a separate account".

"Now it’s all about agreeing the next step: actually sending the cash to Ukraine," he added.

Earlier this month the foreign affairs ministers of the EU reached a political agreement concerning the plan to use Russian assets to support Ukraine.

However, a number of EU member states are against the confiscation of these assets due to legal hardships. The compromise is to tax the income of these frozen assets and transfer these funds to Ukraine.

Meanwhile the US is promoting the idea of the confiscation of frozen assets. Last week profile committees of the Senate and the Chamber of Representatives of the US adopted a law intended to help create conditions for confiscation of Russian assets and their transfer to Ukraine to support its reconstruction.

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