Ukraine Receives €3 Billion From EU in Frozen Russian Assets

Ukraine's state budget has received €3 billion from the European Union. The funds are part of the EU's contribution under the G7 Extraordinary Revenue Acceleration for Ukraine (ERA) initiative, the Ministry of Finance of Ukraine reports on its official website. 

The ERA envisages USD 50 billion to be allocated to Ukraine, which will be secured by future revenues from Russia's frozen assets. The EU's contribution is EUR 18.1bn (USD 20bn). 

The funds from the European Union are expected to be disbursed in instalments until the end of 2025. 

‘The funds will help finance priority social and military budget expenditures, maintain macroeconomic stability, and restore critical infrastructure. This is a necessary and timely investment in maintaining Ukraine's financial stability, our ability to effectively counter the enemy at the frontline and ensure social security. I am grateful to our partners from the EU for implementing a mechanism that makes Russia pay for the damage it inflicts on Ukraine,’ said Minister of Finance of Ukraine Serhii Marchenko.

As you know, the frozen assets of the Russian central bank in the EU amount to €210 billion and constitute the majority of such frozen assets worldwide, according to official EU data. Depending on the level of interest rates, the income from these assets is currently estimated at EUR 2.5-3 billion per year.