The European Union is disbursing almost €6 billion ($6.97 billion) in further financial aid to Ukraine, European Commission President Ursula von der Leyen announced on Thursday.
The funding is in the form of a loan to be repaid with interest generated from frozen Russian state assets held in the EU, as well as funding from the so-called Ukraine Facility, she told lawmakers in the European Parliament.
“Today, [Russian President Vladimir] Putin still believes he can outlast us. He still thinks that, over time, Russia can achieve its aims on the battlefield,” von der Leyen said, adding: “That is a clear miscalculation.”
Since the start of Russia’s full-scale invasion in 2022, the EU and its member states have pledged almost €178 billion in support, according to the figures, ranging from military and financial assistance to aid for refugees.
The EU’s Ukraine Facility alone is endowed with €50 billion, while about €18.1 billion is being provided to an initiative led by the G7 group of states. This also draws on interest generated from frozen Russian state assets held in the EU.
Meanwhile, EU plans to use the frozen Russian assets themselves to provide Ukraine with further large-scale financial support of up to €140 billion are still snarled up due to opposition from Belgium, in particular, where the funds are managed by Euroclear.
Efforts to resolve the issue were under way, von der Leyen said, outlining three options.
If no agreement was found involving the frozen Russian assets – the preferred option – alternatives were to use EU budget funding to raise money on capital markets, or else for member states to raise the necessary capital by themselves, she said.
“It is clear, we will deliver, and we will cover the financial needs of Ukraine for the next years. The discussion is now on the how,” von der Leyen pledged.