EU to Russia: Pay Ukraine Before Assets Are Returned

The EU’s foreign affairs chief, Kaja Kallas, declared that frozen assets will not be returned to Russia unless Moscow pays reparations to Ukraine.

While the EU has not confiscated the frozen Russian state assets worth €210 billion, it has been using the interest generated to support Ukraine’s war effort. (Photo: Володимир Зеленський Facebook)

Speaking at an informal meeting of foreign ministers in Copenhagen, Kallas said the bloc must be prepared in case of a ceasefire or peace deal, Sandor Zsiros reported for Euronews.

“We can’t possibly imagine that, if there is a ceasefire or peace deal, these assets are given back to Russia if they haven’t paid for the reparations,” Kallas said.

The EU froze Russian state assets worth €210 billion following the full-scale invasion of Ukraine.

While not confiscated, the EU has been using the interest generated to support Ukraine’s war effort. Experts warn that outright confiscation remains legally uncharted territory and could spark challenges.

The largest share of frozen assets — €183 billion — is held in Belgium, where Euroclear clears financial transactions. Those funds belong to the Russian central bank, which had invested in short-term government bonds.

Within the EU, Poland and the Baltic states back full confiscation of Russian assets, while Belgium, Germany, and France continue to raise legal concerns.