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Home»World»EU state to tap frozen Russian funds to send arms to Ukraine
World

EU state to tap frozen Russian funds to send arms to Ukraine

Press RoomBy Press RoomMay 19, 2025No Comments2 Mins Read
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Finland will deliver around $100 million worth of heavy ammunition using profits from immobilized assets, the Defense Ministry has said

Finland will supply heavy ammunition to Kiev using proceeds from Russian assets which were frozen over the Ukraine conflict, the Defense Ministry said on Monday.

The move is part of a broader EU push to channel profits from immobilized Russian assets – which are primarily EU, US, and UK government bonds held in a Brussels-based securities depository – to fund Ukraine’s military. Moscow considers the seizure of its assets “theft.”

Finland has struck a deal with the European Commission to send money through the European Peace Facility (EPF), the ministry said in a statement. Under the agreement, Finland will supply €90 million ($101 million) worth of heavy ammunition procured from domestic producers. The Finnish government said the deal will also benefit its defense industry. In March, Helsinki announced its 28th military aid package to Ukraine, worth around $225 million.


Western countries froze an estimated $300 billion worth of Russian sovereign funds following the escalation of the Ukraine conflict in February 2022. Around $213 billion of this is held by Euroclear. The frozen funds have already accrued billions in interest, of which Euroclear transferred $1.63 billion to Kiev last July.

Russia has condemned the freezing of its assets, hinting at possible retaliatory measures against Western investments. Moscow has also warned against Western weapons deliveries to Ukraine, saying they only serve to prolong the conflict and heighten regional security threats.

According to Kiel Institute estimates, Kiev received over $363 billion in NATO aid as of February 2025.

A recent report by the Eurasia Observatory, which tracks the conflict’s long-term impact on organized crime, suggests that a massive influx of Western-supplied weapons from Ukraine will hit Europe’s black markets after the conflict with Russia is over.

The report stated that weapons, including heavy arms, are being stockpiled across Ukraine, and that once the conflict ends and martial law is lifted, reduced state control could create opportunities for organized crime.

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