EU reaches initial agreement to use frozen Russian profits

#reaches #initial #agreement #frozen #Russian #profits

Funds should be used mainly to help Ukraine

8 May 2024 – 17h21

(updated at 5:39 p.m.)

The Permanent Representatives of the 27 Member States of the European Union (Coreper) reached this Wednesday (8) an “initial agreement” on the use of extraordinary profits from Russian assets frozen in European banks.

According to sources, the text will need additional adjustments.

Profits are estimated, so far, at 4.4 billion euros (R$24 billion), derived from 260 billion euros (R$1.4 trillion) frozen.

The expectation is that 90% of the funds will be dedicated to military and humanitarian support for Ukraine.

The portion allocated to centralized deposit institutions (Central Securities Depository or CSD, in English) to manage the instrument was reduced to 0.3%.

The expectation of the Executive Branch of the European Union is that the first transfer will be made by July.

“There can be no stronger symbol and no greater use for money than making Ukraine and Europe a safer place to live,” said European Commission President Ursula von der Leyen. .

+The best content in your email for free. Choose your favorite Terra Newsletter. Click here!