Ukraine is preparing a mechanism for confiscating $500B in Russian assets frozen by the West.

During the speech at URC2023, Ukrainian Prime Minister Denys Shmyhal said Ukraine proposes to create a universal system under which the internationally recognized aggressor will pay for its crimes. This will be a completely legitimate mechanism based on a relevant international agreement, Shmyhal added.

According to him, these funds will become one of the financing sources for the reconstruction.  The second source is funds from the Ukrainian budget, including confiscated Russian assets in Ukraine. This year, $3.3B is provided for reconstruction in the state budget, and the country has already started using these funds. The third source is assistance from international partners, including global financial organizations.

Of the required $14.1B needed for rapid recovery, Ukraine’s partners have already guaranteed to provide $4.3B. However, Ukraine needs another $6.5B, Shmyhal noted.