United to win: US to provide Ukraine with $15 bln from frozen Russian assets

The United States is set to provide Ukraine with $15 billion, which will come from frozen Russian assets in the future.

The Prime Minister of Ukraine, Denys Shmyhal, reported that.

He also announced that the Ministry of Finance of Ukraine and the World Bank signed a corresponding agreement, which provides for the use of this amount within the framework of the PEACE in Ukraine project.

He said that this financial package is part of a larger effort, with the United States providing $20 billion to Ukraine within the framework of the G7 initiative.

Shmyhal noted that the funds will be directed to social and humanitarian expenditures.

"We thank the United States and the World Bank for the implementation and support of the initiative, which forces Russia to pay for its aggression against Ukraine," the Prime Minister emphasized.

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The frozen Russian assets have become one of the key financial instruments to support Ukraine after the start of a full-scale aggression in February 2022.

The Russian Federation's assets, which were blocked as a result of international sanctions, include both state reserves and private property of Russian oligarchs associated with the Kremlin.

Based on different calculations, frozen assets are currently valued at over $300 billion. This includes reserves held by the Central Bank of Russia in foreign banks, as well as assets and funds belonging to Russian government-owned enterprises.

It is known that a significant part of these funds belongs to influential businessmen who actively support the aggressive policy of the Russian authorities.

Earlier, dozens of luxurious estates and ships belonging to Russian oligarchs, whose sanctions against them were a response to the ongoing war, have already been seized in the EU and the US.

EU Economic Commissioner Valdis Dombrovskis recently stated the need to consider mechanisms for using frozen assets of the Russian central bank to compensate for losses caused to Ukraine.

As Shmyhal recently reported, Ukraine has already begun to gradually receive the first funds from frozen Russian assets.

It is important to mention that Ukraine has been granted a $50 billion loan, to be repaid with the proceeds from Russian assets that have been frozen. However, only the G7 countries have committed to contributing to this loan.

Finally, it was decided that the United States would contribute a maximum of $20 billion, the EU would offer up to $35 billion, and the United Kingdom would allocate close to $3 billion.

In December, Ukraine and the EU signed a memorandum for a loan agreement to secure up to €35 billion in macro-financial aid, while Washington announced a loan of $20 billion.