Key facts
- The EU received €1.4 billion in revenue from immobilized Russian central bank assets.
- The funds were transferred on Monday and are designated for Ukraine.
- This is the fifth transfer of its kind from profits generated by frozen Russian assets.
- 95% of the funds will support Ukraine's loan servicing, while 5% will fund military needs.
- Over €210 billion in Russian central bank reserves have been frozen by the EU.
The European Union has received €1.4 billion in revenue generated from immobilized Russian central bank assets, the European Commission announced. This payment, received Monday, marks the fifth transfer of its kind, with the total windfall profits from these assets now reaching €8 billion since they were frozen following Russia's invasion of Ukraine.
European Commission President Ursula von der Leyen stated that Russia must pay for the destruction it has caused and that these proceeds will ensure this. She confirmed that the €1.4 billion will support Ukraine's continued resistance against Russia's illegal war. The funds will be channeled through two mechanisms: 95% via the Ukraine Loan Cooperation Mechanism to help Kyiv service EU and G7 loans, and the remaining 5% through the European Peace Facility to address Ukraine’s pressing military and defense needs.
Over €210 billion in Russian central bank reserves were frozen by the EU after Moscow’s full-scale invasion in 2022. Since 2024, financial institutions holding these assets are required to ring-fence the extraordinary profits they generate, allowing Brussels to redirect these proceeds to Ukraine while leaving the underlying reserves untouched. This development follows one of the deadliest Russian attacks on Kyiv this year, which killed at least 17 people.