Russia may offer $300 billion in frozen assets for Ukraine reconstruction under strict conditions

Russia is considering using up to $300 billion in frozen sovereign assets to help rebuild Ukraine, but it will demand that a portion of these funds be allocated to the one-fifth of the territory currently held by Moscow's military, according to three sources (via Reuters).

The proposal, still in early discussions, reflects Moscow's willingness to negotiate as the war drags on, though it remains unclear whether this topic was raised during recent Russia-United States talks in Saudi Arabia.

The Group of Seven stated in 2023 that Russian assets will remain frozen until Moscow takes responsibility for the destruction caused in Ukraine, while Ukraine insists that Russia must withdraw entirely before any agreement can be reached.

Western governments continue to debate the legal and financial implications of using these assets, as Moscow warns that such a move would set a dangerous precedent for global banking security. For now, it remains to be seen whether Russia's offer will gain traction in diplomatic circles.