The European Union announced on Wednesday, April 1, that it has transferred 1.4 billion euros to Ukraine, derived from “unexpected profits” generated by the interest on the cash balances of the frozen assets of the Central Bank of Russia (RSB), held by the central securities depositories (CSDs). This amount covers the revenues accumulated in the second half of 2025 and marks the fourth transfer of this kind, following the third tranche granted in August 2025.
These funds come from the RSB assets frozen under EU sanctions, imposed in response to Russia’s war of aggression against Ukraine. Although the assets themselves remain frozen, the interest on cash balances does not belong to Russia and, at the proposal of the European Commission, it was agreed that these would be used to support Ukraine. “This measure is part of the EU’s ongoing commitment to stand by Ukraine as long as necessary”, emphasize European officials.
The President of the European Commission, Ursula von der Leyen, stated: “These 1.4 billion euros will be directed where they are most needed: to support the Ukrainian state, maintain essential public services, and support the brave Ukrainian armed forces. Our commitment to Ukraine’s victory and freedom is unwavering.”
Support through financial and military mechanisms
The majority of the funds, 95%, will be used through the Ukraine Loan Cooperation Mechanism (ULCM), which provides non-repayable support to help Ukraine repay the macro-financial loans granted by the EU and G7 creditors. The total value of the support provided through this mechanism amounts to 45 billion euros. The remaining 5% will be directed through the European Peace Facilities (EPF), which assist Ukraine in meeting urgent needs in the military and defense sector.
Details, HERE