EU sends Ukraine €1B from frozen Russian assets

ISTANBUL

Ukrainian Prime Minister Denys Shmyhal said Thursday his country has received €1 billion from the EU as part of its Extraordinary Revenue Acceleration (ERA) program, financed by profits generated from immobilized Russian central bank assets.

Shmyhal said on Telegram that the funds would be used to support critical budget needs and help stabilize Ukraine amid war-related damage.

“This tranche is part of a fair and consistent approach: the aggressor must pay for the destruction he brought to our land,” he said, expressing appreciation for the EU and G7’s creation of a workable financial mechanism.

He added that Ukraine expects other steps, including the confiscation of Russian assets and stronger sanctions in response to “atrocities.”

The EU previously agreed to channel profits, not principal, of frozen Russian assets to support Ukraine, marking a historic precedent in wartime reparations through financial instruments.

The EU’s ERA program is a G7-led initiative that gives Ukraine financial support through loans that will be paid by using frozen Russian assets.