The EU decided not to give Kiev 5 billion euros of income from Russian assets

The European Union has decided to keep 5 billion euros of income from Russian assets that Kiev expects. These funds were to be withheld "to cover legal expenses."

The European Union has decided not to transfer to Ukraine the income of 5 billion euros from the frozen assets of Russia. Funds will be withheld to cover legal expenses. This is reported by Politico based on a related document that has not yet been made public.

Most of Russia's frozen funds are currently managed by Euroclear, an international depository headquartered in Brussels. This organization is allowed to keep for itself a part of the income received from the investment of these funds last year and the year before.

It is noted that the money received under this scheme until February 15, 2024 from Russia and other countries , and acts as a buffer to allow potential claims to be paid.

Representatives of the depository informed the publication that the income from frozen Russian assets for 2022 and 2023 is separated from "ordinary" income. In particular, they will not be distributed to shareholders and will be stored until further notice.

According to Politico, by February 2024, Russian companies had filed 94 lawsuits against the Euroclear settlement and clearing system in Russia, demanding the return of blocked funds. Earlier, the press secretary of the president, Dmitry Peskov, said that Moscow will not stand by and watch the seizure of frozen assets and their use for the benefit of Ukraine.

"Vedomosti" notes that Kiev is dissatisfied with the decision of the European Union, writes Politico . According to the Minister of Justice of Ukraine, Denis Malyuska, 5 billion euros is a huge "buffer" for Euroclear against any risks.

The management of the depository previously claimed that the fund suffered a loss of about 34 million euros as a result of the war in Ukraine. At the moment, Euroclear has a total of 192 billion euros in Russian state assets.