Ukraine to create defense fund funded by sale of confiscated Russian assets

Ukraine plans to create a special defense fund that will be filled with dividends from state defense assets and profits from the sale of Russian confiscated assets.

President Volodymyr Zelensky stated this during the International Defense Industries Forum held on Friday in Kyiv.

"Ukraine will establish a special defense fund that will provide our defense with additional resources," the Ukrainian leader said.

The fund will be used to develop Ukraine's military production and support cooperation with relevant industries. It will also help create new military facilities and programs needed to defend and care for Ukrainian soldiers.

"The fund's resources are a plus to state defense spending, defense production, and private investments," Zelensky said.

What we know about the International Defense Industries Forum

Ukraine held its first Defense Industries Forum for domestic and foreign arms manufacturers, DFNC1.  252 defense companies from more than 30 countries of the world participated in the forum in Kyiv.

The event was developed to record the achievements of Ukraine's defense-industrial complex and consider what can add to the country's possibilities, particularly by creating new production facilities in Ukraine.

During his speech at the forum, President Volodymyr Zelensky announced the Defense Industries Alliance. The declaration is open for accession and has already been signed by 13 companies.

NATO Secretary General Jens Stoltenberg arrived in Kyiv to participate in the event. French Defense Minister Sébastien Lecornu was also among the participants, having arrived with a delegation of representatives of companies specializing in military equipment production.

What we know about confiscated Russian assets

As Rubryka reported, the Ukrainian authorities want to spend Russia's confiscated foreign assets on the rehabilitation of Ukrainian veterans.

Back in April, Ukraine called on the world countries to tighten sanctions against Russia to prevent the circumvention of restrictions and to speed up the development of tools for confiscating Russian assets to direct them to Ukraine's reconstruction.

Rubryka reported that the United States is preparing to transfer the confiscated Russian assets worth more than $5 million to Ukraine.

Before that, partner countries actively stated that the confiscated assets would be given to Ukraine for recovery. During his recent official tour outside Ukraine, President Volodymyr Zelensky said that these funds need to be used to compensate his people for the damage caused by Russia's war and terror.