EU confirms reparation debt for Ukraine

The proposal to fund a reparation debt for Ukraine from frozen Russian assets was widely supported by EU abroad ministers - announced on Monday the head of EU diplomacy Kaja Kallas. In her opinion, there may inactive be a breakthrough this week.PAP

The European Union's Head of Diplomacy Kaja Kallas present confirmed the broad support of associate States to usage frozen Russian assets to finance assistance to Ukraine. The decision was made at a gathering of the ministers of abroad affairs in Luxembourg.

"Ukraine needs more military but besides financial support" - said Kallas after the meeting. "Ministers present discussed the European Commission's proposal to usage frozen Russian assets to meet Ukraine's urgent defence needs. There has been broad support present for this solution. It is crucial that we make advancement on legal and fiscal issues this week" - she stressed.

Repair debt mechanism

The task envisages granting Ukraine a debt from frozen assets of the Russian central bank. The EU would receive funds from the Euroclear clearing home based in Belgium, where most Russian assets are frozen.

Money would go to Ukraine in the form of an EU loan. Kiev would only repay it after the Russian invasion ended and reparation from Russia.

Brussels Summit

The usage of Russian assets will be discussed by associate State leaders at the EU summit in Brussels on Thursday.

Sources used: "PAP" Note: This article has been edited with the aid of Artificial Intelligence.