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Germany backs EU idea of releasing Russian assets for Ukraine

The EU plans to transfer up to 200 billion euros in frozen Russian funds to Kiev, replacing them with bonds backed by the bloc.

Снимкa: Shutterstock

The German government is open to a European Union plan to release frozen Russian assets for Ukraine. This was reported by a government source to "Reuters", reports News.bg.

The EU intends to send Ukraine up to 200 billion euros in Russian cash stored in a Belgian depository and exchange it for bonds backed by the EU.

The plan, which would help finance aid to Ukraine amid uncertainty over the United States' commitment to Kiev under President Donald Trump, is likely to be a leading topic at an informal EU summit in Copenhagen next week.

So far, the EU has only taken interest generated by Russian assets that were frozen after Moscow's invasion of Ukraine in February 2022.

Germany, the EU's largest economy and Ukraine's second-largest military backer, has previously expressed legal concerns about any proposals to fully seize the assets. But Finance Minister Lars Klingbeil indicated last week that Berlin was reassessing its position on the legally fraught issue.

"The German government is open to a debate on the European Commission's new proposals," the government source said, without confirming the exact details of the plan.

The United States has long been the largest single supporter and arms supplier to Ukraine. Trump has argued that Europe should shoulder a much greater share of its own defense burden.