EU Seeks to Use Frozen Russian Assets to Fund Long-Term Kyiv Recovery

The European Commission is developing a proposal for a “reparations loan” designed to finance the long-term reconstruction and recovery of Ukraine. This plan involves utilizing the frozen assets of the Russian central bank and Russian oligarchs held in EU jurisdictions as collateral or a source of repayment for the loan. The initiative aims to provide predictable, substantial funding for Ukraine while navigating the complex legal challenges associated with seizing sovereign assets.