EU Moves Ahead With Plan to Fund Ukraine Using Frozen Russian Assets Amid Rising Tensions Over Peace Talks
The European Commission on Wednesday unveiled a long-anticipated plan to provide Ukraine with a multibillion-euro loan backed by profits from frozen Russian assets. This move is framed as both an economic lifeline for Kyiv and a geopolitical message to Moscow that prolonging war will carry escalating costs. Image Source: Visegrad24 Commission President Ursula von der Leyen said the bloc is aiming to provide €90 billion to cover two-thirds of Ukraine’s estimated funding needs for 2026 and 2027, using a dual structure: EU market borrowing and cash balances generated by Russian assets immobilised in European financial institutions. “Pressure is the only language the Kremlin responds to,” von der Leyen told reporters. “We want peace, but peace must come from a position of strength.” The proposal, released ahead of a decisive EU summit later this month, comes amid signs of deadlock in international peace efforts. Kremlin spokesperson Dmitry Peskov confirmed Wednesday that President V...