European Union leaders have provisionally agreed on a plan to allocate profits from frozen Russian assets towards Ukraine, potentially directing around €3 billion to the country within the current year. This agreement includes initial funds transfer and increased tariffs on Russian and stolen Ukrainian grain to protect the EU market.
European Union leaders have provisionally agreed on a plan to allocate profits from frozen Russian assets towards Ukraine, potentially directing around €3 billion to the country within the current year, with an initial €1 billion possibly being transferred as early as July. The agreement was reached after almost a year of negotiations and included changes in the wording to overcome opposition from Hungary, especially concerning the aspect of these funds being used to arm Ukraine. European Commission President Ursula von der Leyen also brought up the potential imposition of increased tariffs on Russian and, notably, stolen Ukrainian grain to prevent destabilization of the EU market by these imports.
In addition, the proposed distribution of the funds includes dedicating 90% to military programs and the remaining 10% to reconstruction efforts in Ukraine, with an option to redirect some of the funds to EU peacekeeping missions, particularly to address concerns from Hungary. This development is part of broader EU support for Ukraine amid its conflict with Russia, with EU leaders endorsing accelerating membership talks for Ukraine and Moldova and urging Bosnia and Herzegovina to fulfill necessary conditions for candidacy.
Amid these developments, Hungarian and Slovakian officials have reiterated their opposition to sending arms to Ukraine, highlighting the divisions within Central Europe on the approach towards the conflict. Conversely, the Czech Republic and Poland have been actively seeking to procure ammunition for Ukraine, showcasing the varied stances within the EU on military support to Ukraine.
Furthermore, the European Commission has proposed tariffs on grain imports from Russia and Belarus to block Russian revenues from these exports and prevent the illegal inflow of Ukrainian grain into the EU, emphasizing the ongoing efforts to sanction Russia over its invasion of Ukraine. This move represents another dimension of the EU’s strategy to support Ukraine and counter the impact of the conflict on European stability and market dynamics. The series of measures and proposals underline a significant phase in European solidarity with Ukraine amidst ongoing tensions with Russia.
