**EU to Keep Frozen Russian Assets Until Reparations Paid**
The European Union will not return frozen assets to Russia until Moscow pays reparations to Ukraine. This was stated by EU Economy and Trade Commissioner Valdis Dombrovskis on March 20 in Kyiv.
Dombrovskis said that the G7 decision to keep the assets frozen unless Russia pays for its damages is already made. He believes this decision provides important leverage with Russia. The statement comes after U.S. President Donald Trump‘s change of heart in Ukraine and EU policy.
The U.S. has been considering easing sanctions against Russia as a step towards ending the war in Ukraine. However, Dombrovskis said that if the U.S. decides to unilaterally withdraw from some sanctions, it does not mean that the EU has to follow suit automatically.
**Frozen Assets: A Major Issue**
The West has frozen around $300 billion in Russian assets since Moscow launched its full-scale invasion of Ukraine in February 2022. The majority of these assets are held in Europe. In October 2024, the G7 agreed to provide Ukraine with nearly $50 billion in loans backed by the revenue generated from frozen Russian assets.
Ukraine has received loans backed by the interest earned from these assets but has repeatedly called for full confiscation to fund its defense and reconstruction. The West is divided about whether to confiscate the assets and hand them over to Ukraine.
**EU Stands Firm**
In a statement issued during the EU summit in Brussels on March 20, the European Council reiterated that Russia’s assets should remain frozen until Russia ceases its war of aggression against Ukraine and compensates it for the damage caused by this war. The EU is ready to step up pressure on Moscow, including through further sanctions.
Read More @ kyivindependent.com