EU transfers first €1.5 billion tranche of proceeds from Russian assets to Ukraine

Ursula von der Leyen, President of the European Commission, has announced the transfer of a €1.5 billion tranche from the proceeds of frozen Russian assets to Ukraine.

"There is no better symbol or use for the Kremlin’s money than to make Ukraine and all of Europe a safer place to live," Von der Leyen said on Twitter (X).

Updated: In a separate statement, the European Commission's press service clarified that the money will be used through the European Peace Facility and the fund to support Ukraine's military capabilities, as well as to rebuild the country. 

The European Peace Facility money is used as compensation to EU countries for supplying military aid to Ukraine.

The European Commission reiterated that as part of the sanctions imposed on Russia, the assets of the Central Bank of Russia located in the EU were frozen, which led to the accumulation of profits.

On the proposals of the European Commission and High Representative Josep Borrell, the EU Council adopted a package of legal acts allowing the use of these profits from the frozen assets of the Russian Federation in favour of Ukraine.

Von der Leyen said that the money is intended to support Ukraine's defence and reconstruction.

In June, the European Union agreed to use part of the excess profits from frozen Russian assets for military aid to Ukraine. The decision was approved despite Hungary's opposition.

EU chief diplomat Josep Borrell said that, in addition to the first tranche of €1.4 billion, another €1 billion would be allocated to purchase weapons for Ukraine by the end of the year.