Germany sees ‘no better option’ than using frozen Russian assets for Ukraine aid

BERLIN

German Chancellor Friedrich Merz on Thursday said there is "no better option" than to use frozen Russian assets in a bid to continue the financial support for Ukraine.

“You know my position. I see no better option than precisely this. It is my impression that we can reach an agreement," Merz told journalists ahead of the EU summit in Brussels.

The German leader said while he understood the concerns of some of the EU member states, especially Belgium, he hoped they would be able to "resolve them together" and "show a sign of strength and resolve towards Russia."

The leaders of 27 EU member states will gather on Thursday in Brussels to discuss whether to use frozen Russian assets worth €210 billion ($246 billion) as collateral to provide a loan to Ukraine.​​​​​​​

Belgian Premier Bart de Wever had said that the risks needed to be shared with joint action, while establishing legal grounds for Russian assets to be used as collateral.

Some €185 billion (nearly $217 billion) of frozen Russian assets are held in Belgium’s Euroclear.

Belgium, Italy, Malta, and Bulgaria support using an alternative solution to Russian assets, while Hungary, Slovakia, and Czechia oppose financial support for Ukraine.

EU countries decided last week to freeze €210 billion worth of Russian assets indefinitely.

This decision and various other guarantees are provided to secure Belgium’s support for the plan to use Russian assets as collateral.