Recovering Ukraine after the war initiated by Russia will require significant financial resources, and preliminary estimates suggest that this amount could reach around £400 billion. As part of a peace agreement proposed by U.S. President Donald Trump, £225 billion (over $300 billion) of frozen Russian state assets held abroad could be used for these purposes. This opinion was expressed by political scientist and Eastern Europe expert Mark Galeotti.
This is reported by Finway
Prospects for Asset Recovery and Reconstruction
One European diplomat noted:
“Moscow will put on a show of spitting and shouting, but in reality, it will see this as a way to pay reparations with money it will never get back”
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Analysts emphasize that any attempts to reclaim territories occupied by Russia, as well as to discredit the authoritarian regime of Russian dictator Putin, depend on creating a successful and stable Ukraine in the long term. The fear of new aggressions from Russia will remain, but Kyiv plans to implement a “hedgehog strategy”, making itself so unpredictable that it will be difficult for Moscow to decide to resume military actions.
Funding Paths for Ukraine’s Recovery
The National Bank of Ukraine emphasized that the confiscation of Russian assets may have a negligible impact on the role of the euro in the global economy. Ukrainian Prime Minister Denys Shmyhal also expressed the view that the frozen Russian assets are insufficient for the full recovery of the country. Therefore, he called on Western countries to impose tariffs on imports of goods from Russia, with the proceeds directed towards the reconstruction of Ukraine.