Ukraine will receive the first €3B in profit this summer from frozen Russian assets.

The EC wants to accelerate the approval of the mechanism that will allow the use of profits from frozen Russian assets so that Ukraine can receive the first €2-3B tranche in July.

As the FT writes, the EU can appropriate 97% of the net profit received from Russian assets frozen in Euroclear, starting from February this year, and transfer them to the EU’s budget. Further, this money would be paid quarterly or twice a year and “could be used for the benefit of Ukraine by various agreements.”

This mechanism will not apply to the almost €4B that have already accumulated in Euroclear. They are planned to be used primarily to cover legal costs associated with the Russian Federation’s legal proceedings against the EU.

The proposal, which should be ready for next week’s EU summit, still needs final approval from the EC and support from EU member states.