EU May Transfer Russian Windfall Profits to Ukraine

by Meifan Honcharuk
Sunday, July 2, 2023
EU May Transfer Russian Windfall Profits to Ukraine

Russian immobilised assets will mature to cash and generate around €3 bln in windfall profits over the next 2-3 years

On June 29-30, Brussels hosted the summit of the European Commission at the Sweden presidency in the European Council. Bloomberg, citing an anonymous source familiar with the case, said the EU is considering seizing over €200 billion of Russian assets immobilised in the EU. Further, the funds will be transferred to the restoration of Ukraine.

“We will focus prudently on the windfall profits from the immobilised assets of the Russian Central bank,” Ursula von der Leyen.

Most of the blocked funds of the Russian central bank in the EU and G7 are kept in cash and deposits, the rest is securities. Within 2-3 years, they will be mature, after which they will be converted into cash. Ultimately, this should bring about €3 billion.

The European Union plans to enlist the support of the G7. The US is informed about the plan but has not yet commented on it. The UK has declared its support of the plan. France and Belgium have an essential voice since they hold the most considerable amount of Russian funds in their accounts.

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