Key facts
- A bipartisan group of U.S. senators introduced the SABER Act on June 18.
- The SABER Act would allow frozen Russian assets under U.S. jurisdiction to be used for purchasing military equipment for Ukraine.
- This legislation expands upon the REPO Act, enacted in April 2024, which permits the transfer of Russian sovereign assets to aid Ukraine.
- An estimated $4 billion to $5 billion of the total $300 billion in frozen Russian assets are under U.S. control.
- The SABER Act aims to directly finance Ukraine's defense needs with these funds.
A bipartisan coalition of U.S. senators has proposed new legislation that would permit the use of frozen Russian assets held under U.S. jurisdiction to fund military equipment for Ukraine.
The proposed Seized Assets for Battlefield Equipment and Readiness (SABER) Act, introduced on June 18, aims to expand existing legal authorities to enable Ukraine to acquire defense materiel as it continues to defend against Russia's ongoing invasion.
This initiative builds upon the Rebuilding Economic Prosperity and Opportunity for Ukrainians (REPO) Act, which was adopted in April 2024. The REPO Act granted the U.S. the legal framework to transfer Russian sovereign assets under its control to support Ukraine's reconstruction and defense efforts.
Western nations have collectively frozen approximately $300 billion in Russian assets since Russia's full-scale invasion in 2022. Of this total, an estimated $4 billion to $5 billion falls under U.S. jurisdiction.
The existing REPO framework has been instrumental in supporting a $20 billion U.S. contribution to a broader $50 billion G7 loan package for Ukraine. This loan is being repaid through the profits generated by these frozen Russian assets.
Senator John Cornyn highlighted that while the REPO Act established the groundwork for repurposing billions in frozen assets, the SABER Act would further strengthen Ukraine's arsenal by allowing direct use of these funds for defense equipment and services. He stated that this would help Ukraine defend against Russian aggression and compel President Putin to bear the cost of arming Ukraine.
The bill was co-sponsored by Republican Senators John Cornyn, Roger Wicker, and Chuck Grassley, along with Democratic Senators Tim Kaine, Chris Coons, and Sheldon Whitehouse. A companion bill is being advanced in the House of Representatives by Representative Joe Wilson.
The proposal emerges amidst ongoing discussions among international allies regarding the utilization of frozen Russian assets. While some governments favor using the profits derived from these assets, the direct confiscation of the principal remains a contentious issue in certain jurisdictions due to legal and financial considerations.