The EU has frozen €210 billion of Russian Central Bank assets, with €185 billion held by Euroclear in Belgium. European leaders are now working to use this money to support Ukraine, though the plan faces strong opposition.
The EU isn’t transferring the assets directly. Instead, they’re using the interest earned on frozen funds to provide a €90 billion “reparations loan” to Ukraine. The frozen assets generate about €3 billion annually, with 90% earmarked for military support and 10% for economic aid. Ukraine would only repay the loan if Russia pays war reparations. The EU sent its first €1.5 billion payment in July 2024 and indefinitely froze the assets on December 12.
Belgium strongly opposes the plan, fearing legal and financial risks. Foreign Minister Maxime Prévot warned the scheme could expose Belgium to Russian lawsuits against Euroclear.
Hungarian PM Viktor Orbán accused the EU of breaking its own laws. At the same time, Slovak PM Robert Fico refused to support using Russian assets for military aid, arguing it prolongs the war. Belgium rejected EU concessions on December 16, likely blocking agreement at the December 18 summit.
Russia filed a lawsuit against Euroclear on December 12, claiming illegal asset seizure. President Putin escalated rhetoric on December 17, calling European leaders “piglets” profiting from Russia’s collapse and vowing to achieve war goals “unconditionally” through military force if needed.
The plan remains stalled amid legal concerns, political divisions, and Russian threats.
