Russian assets most effective way to finance Ukraine, von der Leyen says

BRUSSELS: EU member states have three options to fund Ukraine’s financing needs, with a reparations loan based on immobilised Russian assets as the most effective option, EU Commission President Ursula von der Leyen said on Thursday.

Other options are for the EU to use “headroom” in its budget to raise capital, or for an agreement among member states to raise capital by themselves, she said in a speech in European Parliament.

“Option three is to have a reparations loan based on immobilised Russian assets. We give a loan to Ukraine – that Ukraine pays back if Russia pays reparations,” she said.

“This is the most effective way to sustain Ukraine’s defence and its economy.”