EU Debates Controversial Plan to Use Frozen Russian Assets for Ukraine Aid

• The EU is considering using €210 billion in frozen Russian state assets, including the principal, to fund Ukraine, a move without precedent.
• The proposal faces deep divisions, with Belgium, holding most assets via Euroclear, objecting due to legal risks and fear of Russian retaliation.
• Russia has warned of severe consequences and initiated legal action, calling the plan "robbery" and illegal.
• The US has competing plans for Russian assets, and the EU's decision is critical for Ukraine's financial stability amid declining US support.
• The decision will shape Europe's financial, legal, and geopolitical stance, raising concerns about deterring foreign investment in the EU.

Why It Matters: EU's unprecedented plan to use frozen Russian assets for Ukraine faces legal, financial, and geopolitical hurdles.