EU mulls use of windfall profits from frozen Russian assets: EU Commission chief

The European Commission is working on a proposal to use windfall profits from frozen Russian assets to support Ukraine, the head of the EU institution said Friday.

EU leaders discussed at a two-day summit, the future of the more than €200 billion ($218 billion) of assets of the Russian central bank that have been frozen in EU accounts as part of the sanctions against Russia’s war in Ukraine.

Charles Michel, the President of the European Council, confirmed at a news conference after the summit, that EU leaders agreed the EU must keep up efforts “to immobilize assets in favor of Ukraine and Ukraine's future” along with international partners.

“We think it would be fair to use a part of that money to support the future of Ukraine,” he said.

EU Commission chief Ursula von der Leyen said Russia is responsible for “massive destruction in Ukraine” and perpetrators should be held accountable.

“It cannot be that Russia destroys vast parts of the infrastructure of Ukraine and is not contributing to the repair and reconstruction of that,” she said.

The EU executive body “will come forward with a proposal, and we will focus prudently on the windfall profits from the immobilized assets of the Russian Central Bank,” said von der Leyen, adding that the move will come in coordination with G7 partners.

Disagreement on migration policy

The leaders discussed the situation in Ukraine, migration policy, the EU’s relationship with China and other foreign policy issues at the meeting.

Because of Hungary’s and Poland’s opposition, they could not agree on a common position on a migration policy, therefore, Michel, who presides over the meetings, issued a separate conclusion on the topic.

“Migration is a European challenge that requires a European response,” he wrote, adding that the EU’s “work will be stepped up on all strands of action, along all migratory routes, in line with international law.”

Von der Leyen revealed before the summit that the EU is mulling plans to strengthen the bloc’s external borders and manage migration, including financial support to countries of origin.