The total amount frozen in Russian special assets within the European Union is around 18.9 billion euros after eight sanctions packages approved so far by the Twenty-Seven against Moscow over the war in Ukraine. Central Bank reserves held by Russia are estimated at about 300 billion euros immobilized by G7 nations and the EU due to the asset freeze. European Commission president Ursula von der Leyen has urged dedicating this pool to Ukraine’s rebuilding, a plan she has pressed for over months, with a nod to President Volodymyr Zelenskyy as a potential beneficiary. [EU Strategy Brief]
Brussels proposes leveraging frozen Russian assets to help cover the devastation caused by Vladimir Putin’s regime. A World Bank document shared with the Twenty-Seven values Ukraine’s total damages since the invasion began on February 24 at roughly 350 billion euros, with the figure likely rising as the conflict persists. Von der Leyen has publicly estimated the potential damage at 600 billion euros, underscoring the need for Russia and its oligarchs to compensate Ukraine and fund its recovery. [World Bank Assesment]
To advance this, the European Commission contemplates diverting nearly 19 billion euros of private assets held by member states—transferred to oligarchs and related organizations—along with roughly 300 billion euros from the frozen Central Bank reserves. These assets have been blocked by the G7 and the EU. In the near term, the commission says, a framework could be built with partners to manage and invest these funds. The goal would be to use the proceeds to pay for Ukraine’s damages, and once sanctions are lifted, redirect the funds toward rebuilding efforts. [EU Legal Framework]
task of leaders
The move follows a mandate from European leaders at the last late-October summit, which asked Brussels to present options for using frozen Russian assets to support Ukraine’s reconstruction. Community sources admit that turning this into reality will be a gradual process, not something that happens overnight. Negotiations and the adoption of legal instruments are expected to unfold in stages, with a medium-term horizon in mind. [EU Summit Minutes]
Simultaneously, Brussels is pursuing a separate initiative—creating a UN-backed special international court under United Nations auspices to prosecute Moscow’s crimes. Von der Leyen stated in a video message that Russia must face consequences for its actions, including the attack on Ukraine’s sovereignty. The plan includes a commitment to work with international partners to ensure Russia pays for the damage and the suffering wrought by its invasion. [UN Court Initiative]
Russia must be held to account for its crimes. The plan envisions cooperation with the International Criminal Court and the establishment of a dedicated tribunal to address aggression and related offenses. Through partnerships, the aim is to ensure oligarchs contribute the proceeds from frozen funds and central bank assets toward Ukraine’s reconstruction and justice for the affected communities. This message was reinforced by official statements and public messages from European leaders. [Tribunal Coordination]
Officials emphasize that these proposals are designed to gain international support and legitimacy, while balancing legal, political, and practical hurdles. The path toward a UN-backed tribunal and the use of frozen assets will require careful diplomacy, robust legal instruments, and sustained collaboration among member states and allied partners. The overarching goal remains clear: to deter aggression, support Ukraine, and uphold the rules that guard international peace and stability. [Global Coalition]