Von der Leyen: EU keeps transfer of frozen Russian assets to Ukraine on agenda

The European Union has said it is still considering a "reparation loan" for Ukraine based on immobilised Russian assets and has not dropped this approach.

"There's another element, that I want to emphasise, that was agreed in parallel to today's package in the European Council in December. Our proposal on the reparation loan remains on the table.

It is also very important for us to send a stark reminder to Russia that we reserve the right to make use of immobilised Russian assets," European Commission President Ursula von der Leyen said.

Von der Leyen added that Russian assets in the EU will remain frozen until the war ends and reparations are paid, noting that Ukraine is not obliged to repay the loan until reparations are paid.

"You also see it reflected in the fact that Ukraine would not have to pay back the loan until reparations are being paid."

On 14 January, the European Commission approved a package of legislative proposals that paves the way for the European Union to provide Ukraine with a €90 billion loan to cover its financial and military needs in 2026 and 2027.

On 18-19 December 2025, the European Council decided to provide Ukraine with a €90 billion loan for 2026 to 2027 funded by EU borrowing on capital markets and supported by EU budget reserves under the enhanced cooperation mechanism with Ukraine.

Hungary, Slovakia and Czechia did not veto the scheme but declined to take part.

On 22 December 2025, the European Commission adopted a proposal for a Council of the EU decision allowing enhanced cooperation with Ukraine, a first step towards securing the loan funds. After EU ambassadors in Brussels approved the draft Council decision on authorising enhanced cooperation to establish a loan for Ukraine, it has been sent to the European Parliament for approval, which could take place as early as next week.