EU offers to use frozen Russian assets to buy U.S. weapons for Ukraine – Financial Times

That’s according to a document seen by The Financial Times, Ukrinform reports.

The proposal, presented to EU ambassadors on Friday, comes as European allies were blindsided by U.S. President Donald Trump’s decision to meet with Vladimir Putin in Hungary to discuss the war in Ukraine.

The European Commission plans to use assets of Russia’s central bank, immobilized at Belgium’s central securities depository Euroclear after the full-scale invasion had started, to fund a “reparations loan” for Ukraine worth €140 billion.

According to the document obtained by FT, most of this loan would be used to purchase weapons and support the defense industries of Ukraine and Europe. At France’s request, European-made weapons would be given priority.

EU diplomats and officials said the proposal aims to keep the U.S. engaged by awarding significant weapons contracts. In recent months, Trump has allowed the sale of more American weapons to Ukraine on the condition that Europe and other allies cover the cost.

The document also states that the European Commission has called on G7 partners and other countries to “step up their support for Ukraine alongside the EU”. This could be achieved through a reparations loan similar to the European one by “mobilizing assets frozen in their jurisdictions — a step already supported by the United Kingdom and Canada.

As reported earlier, the EU is targeting up to €140 billion in frozen Russian assets for use in the large-scale loan to Ukraine, while the European Commission also seeks to tap into funds held in private Russian bank accounts.