Ukraine Receives €1 Billion EU Tranche Funded by Frozen Russian Assets

Ukraine has received another tranche of macro-financial assistance from the European Union in the amount of €1 billion under the ERA (Extraordinary Revenue Acceleration) Loans for Ukraine program.

The Gaze reports on it, referring to a post by the Prime Minister of Ukraine, Yulia Svyrydenko, on Telegram.

According to her, this tranche was financed from the proceeds of frozen assets of the Central Bank of Russia.

In her words, this is not only financial support, but also a clear signal of Europe's determination to strengthen Ukraine's defense and resilience in the face of massive missile strikes and attempts at destabilization.

Svyrydenko thanked European Commission President Ursula von der Leyen and European Commissioner Valdis Dombrovskis for their leadership and steadfastness. 

“These funds mean saved lives, rebuilt cities, and a confident European future for Ukraine,” the Prime Minister emphasized.

Svyrydenko stressed that Russia must be held accountable for its actions and that justice will ultimately prevail.

The ERA (Extraordinary Revenue Acceleration for Ukraine) mechanism is a special initiative implemented by the Ministry of Finance of Ukraine together with the G7 countries and the EU. Its essence is that Ukraine receives loans that will be repaid from future revenues received from Russia's frozen assets.

The total potential of the ERA is up to $50 billion, and by 2025, partners had already allocated $17.6 billion through this mechanism. This will allow Ukraine to obtain the necessary funding for defense and recovery, using funds that are effectively “frozen” in Russia due to sanctions and international restrictions.

As The Gaze reported earlier, the European Commission is preparing a mechanism to redirect nearly €200 billion in frozen Russian assets toward Ukraine’s reconstruction.