EU transfers €1.5b of frozen Russian assets to aid Ukraine

The European Union (EU) announced on Friday that it has transferred 1.5 billion euros(1.62 billion U.S. dollars) worth of frozen Russian assets to support Ukraine, reported Xinhua.

The diversion of funds was made possible after the EU adopted a set of legal acts in May, allowing the use of these net profits for Ukraine's benefit.

In a statement, the EU said this was the first payment derived from immobilized Russian assets. The funds will be allocated through the European Peace Facility and to the Ukraine Facility.

The 1.4 billion euros allocated to the European Peace Facility will be used to finance the acquisition of priority military equipment, including air defence systems and artillery ammunition, said Josep Borrell, the EU's high representative for foreign affairs.

"There is no better symbol or use for the Kremlin's money than to make Ukraine and all of Europe a safer place to live," European Commission President Ursula von der Leyen said.

The Kremlin has condemned the EU's decision as illegal. "This is certainly a reason for thoughtful actions in response to such illegal decisions that are being implemented by the European Union," Kremlin spokesman Dmitry Peskov said, warning that the move will not go unanswered.