EU freezes Russian assets indefinitely

The European Union has decided to freeze Russian assets held in Europe for an indefinite period, the Associated Press reported on Dec. 12.

The bloc used a special procedure designed for economic emergencies to keep the assets frozen until Russia ends its war against Ukraine and compensates Kyiv for the damage caused by the fighting.

European Council President Antonio Costa said EU leaders agreed in October to maintain the freeze until those conditions are met. “Today we fulfilled this commitment. The next step is to ensure Ukraine’s financial needs for 2026–2027,” he said.

Previously, the EU had to renew the asset freeze every six months, but the new decision removes that requirement.

According to Associated Press, the move could allow EU leaders to use frozen Russian assets to provide a so-called “reparations loan” to Ukraine to cover its financial and military needs over the next two years. The issue is expected to be discussed at an EU summit on Dec. 18–19.

The new mechanism would also allow the EU to bypass potential vetoes from Hungary and Slovakia, which have taken a more Russia-friendly stance.