EU Decides to Permanently Freeze Russian Assets

International Business News – The European Union announced on January 20, 2026, a permanent freeze on Russian assets, while retaining the right to use these assets. The decision was formally announced by European Commission President Ursula von der Leyen at the World Economic Forum in Davos, Switzerland.

Key Content and Background of the Decision

Scope and Amount of Freeze: The assets frozen by the EU are primarily those of the Central Bank of Russia, valued at approximately €210 billion (approximately US$230 billion), accounting for over 70% of the total amount of Russian assets frozen by Western countries (approximately US$300 billion).

Legal Basis: Based on sanctions imposed by the EU following Russia’s special military operation against Ukraine in 2022, this freeze has been upgraded to permanent.

Reservation of Use Rights: The EU explicitly reserves the right to use these assets in the future, potentially for the reconstruction of Ukraine or compensation for war losses. Announcement Details and Background

Announcement Time and Occasion: January 20, 2026. Ursula von der Leyen, speaking at the Davos Forum, emphasized that this move is the EU’s ongoing response to the Russia-Ukraine conflict.

Related Policies:

Simultaneously promoting a surge in defense spending to address security challenges.

Reaffirming alignment with US security goals in the Arctic, but criticizing Trump’s proposed tariffs as “wrong,” the EU is prepared to impose retaliatory tariffs on €93 billion worth of US goods.

Asset Control Status: Approximately 90% of the frozen assets are managed by the European Bank for Clearing (located in Brussels).