- Category
- Latest news
Ukraine Receives Second €1 Billion Tranche From EU, Funded by Frozen Russian Assets
- Authors
![Amira_barkhush]( "Amira Barkhush")
Ukraine has received €1 billion from the European Union under the Economic Recovery and Assistance (ERA) initiative, Ukraine’s Prime Minister Denys Shmyhal announced on March 20.
This marks the second tranche provided by the EU, funded through revenue generated from frozen Russian assets. The money will go toward priority state budget expenditures.
In total, under the G7-backed initiative, European partners have already provided Ukraine with €4 billion.
“Frozen Russian assets must serve the interests of our country. We will continue working to ensure their full confiscation and direct them toward Ukraine’s reconstruction,” Shmyhal wrote on his official Telegram channel.
On March 18, it was revealed that the UK and EU were intensifying discussions on seizing billions in frozen Russian assets to bolster defense spending and increase economic pressure on Moscow ahead of potential peace talks.
On December 24, 2024, Ukraine received the first $1 billion installment of a $20 billion loan from the United States, backed by proceeds from frozen Russian assets.
That payment marked the start of a broader G7-led initiative under the ERA Mechanism, which aims to deliver $50 billion to support Ukraine’s recovery and reconstruction.
