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For more than a year, US officials have worked to ease those concerns and find a way to use the frozen Russian money in a way that could benefit Ukraine. In a deal that was seen as a compromise, G-7 countries agreed last year to use interest that had accrued from the frozen investments, which generate a return each year of about $5 billion, as a loan to Ukraine.
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President Joe Biden had expected to discuss the issue with Italian leaders and Ukrainian President Volodymyr Zelensky during a meeting in Rome this week, which the US cancelled as the most destructive fire in Los Angeles’ history raged across the city. Biden spoke by phone with Zelensky last Friday. It’s unclear if the topic of the Russian money came up.
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In its final weeks, the Biden team has looked for other ways to bolster Ukraine’s position on the battlefield and its balance sheet ahead of Trump’s inauguration. The US last weekannouncednew sanctions on secretive ships transporting Russian energy. That came a day after the White House said it wouldsend a final trancheof $500 million worth of weapons, bringing the total amount of security aid for Ukraine to more than $65 billion.
Biden officials have stressed that they want to leave the Trump administration with the strongest hand possible on Ukraine.
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“This money was stolen from us, and the blocking of our assets is absolutely illegal, violating all norms and rules,” Putin spokesman Dmitry Peskovtoldreporters last month.
In a recentinterview, Zelensky said he told Trump to instead give the $300 billion in frozen Russian assets to them to cement the strength of the Ukrainian military as a kind of security guarantee that Ukraine would want for agreeing to end the war.
“Take money, what we need for our interior production, and we will buy all the weapons from the United States,” Zelensky said. “We don’t need gifts from the United States. It will be very good for your industry, for the United States. We will put money there. Russian money, not Ukrainian, not European.”
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