EU approves €35b loan to Ukraine using frozen Russian assets

The European Union (EU) approved on Tuesday a plan to use frozen Russian central bank assets to provide a €35 billion ($38 billion) loan to Ukraine.

The European Parliament voted 518 to 56 in favour, with 61 abstentions, marking the final legislative step after EU governments agreed on the plan earlier in October.

This loan is part of a broader G7 initiative to provide $50 billion to support Ukraine, funded by profits from immobilised Russian assets.

These assets, frozen following Russia’s invasion of Ukraine in February 2022, include over €210 billion held within the EU, primarily managed by Belgium’s Euroclear.