Frozen assets of the Russian Federation: who is in the way of Ukraine and how to solve the problem

Hungary is not the only obstacle to receiving payments from frozen assets of the Russian Federation. Focus learned what would be with the EU help in the near future. Funds from frozen assets of the Russian Federation will come to Ukraine by two tranches. This was stated by the head of European diplomacy Josep Borrel. However, Hungary intends to challenge the transfer of G7 payments to Ukraine in dollars, as stated by the Minister of Foreign Affairs of this country Peter Siyarto.

The situation was commented on the economist of the Vienna Institute of Economic Research Olga Plydyuk during the presentation "Macro-Progogno 2024-25: How Economics, Prices and Center" From the Center for Economic Strategy will change. According to the chairman of European diplomacy, the first tranche of payments will come to Ukraine next week, in July. The second will take place in a few months. "This money cannot be stopped.

They need to be used and we have a legitimate procedure to avoid any lock," said Josep Borrel. Also, the head of the EU diplomacy stressed that Ukraine needs more assistance, moreover, immediate. The first tranche of payments will come to Ukraine next week, in July. The second will take place in a few months "I hope that ministers will support the proposal we have made to increase this support at the expense of Russian income," Borrel said.

Meanwhile, Hungary will challenge the transfer of Ukraine's proceeds from frozen assets of the Russian Federation. The Minister of Foreign Affairs of this country Peter Siyarto has already stated that the EU has agreed to refer 1. 4 billion euros from frozen Russian assets for military support of Ukraine, which "crossed the red line". "In fact, Hungary did not want to and need a unanimous decision . . .

The military passion was blinded by those who make decisions in the EU," said Siyarto, and warned that the Hungarian side was already studying the "legal capabilities" of challenging them. However, according to economists, Hungary's obstruction is not the first and, unfortunately, not the last problem. According to Olga Plydyuk, the Vienna Institute for Economic Research, at the moment, there are risks in the external context, which are more negative than positive ones.

And not only Hungary is a threat to help. "We all know how difficult it was in the US to provide Ukraine with the latest military assistance tranche. The case of victory, namely the support of Europe will be significantly reduced. The European Union institutions work. The status of frozen assets. , and also does not mean that the decision to grant these $ 50 billion will be positive, "the economist said.

She added that external support, which is key to the next two years of the Ukrainian economy, as well as the ability to actively defend the country, unfortunately, remains not so strong and may even get worse. "As for the future reconstruction, the views here are more optimistic: capital will come if security guarantees are provided to Ukraine, necessarily within NATO. Last year, Ukraine was one of the leaders of direct investment flows.