The EU is close to a decision on the use of Russian assets for Ukraine

EU leaders agreed to "move forward" work on a plan to use profits from frozen Russian central bank assets to arm Ukraine, as Kiev pleads for more ammunition for its military.
More than two years after the start of Moscow's war against the neighboring country, Kiev's troops are struggling to contain the Russian army as Western arms shipments slow.
Meanwhile, Putin tightened his iron grip on the country, winning a new six-year term in elections after crushing the opposition.
The proposal, which is at the heart of talks between leaders at the Brussels summit, could unlock around 3.3 billion euros a year for Kiev once it gets the final green light.
"I am glad that the leaders supported our proposal to use the extraordinary income from the immobilized Russian assets. This will provide funding for military equipment for Ukraine," the head of the European Commission, Ursula von der Leyen, told reporters.
The EU has frozen around 200 billion euros of Russian central bank assets held in the bloc as part of punitive sanctions imposed on Moscow over sending troops to the neighboring country in February 2022.
The EU's drive to find more funds for Ukraine comes as a $60 billion aid package from the US, Kiev's other big backer, has been blocked by Congress in Washington.
Addressing the 27 EU leaders via video link, Ukrainian President Volodymyr Zelensky told them that the shortage of ammunition for his troops was "humiliating" for Europe.
"Europe can provide more - and it is crucial to prove it now," he said, also calling for additional air defense systems after a major strike on Kiev.
- Kremlin threatens retaliatory measures -
EU leaders insisted that the plan to channel the interest earned on the frozen assets was legally sound.
But the Kremlin warned it would use legal and "other methods of retaliation" to hit back.
Alongside efforts to deliver more weapons to Kiev, the leaders discussed ways to boost Europe's defense industry so Ukraine can arm itself and build up its own forces.
Brussels has put forward a number of proposals aimed at increasing capacity, but there are complaints that Europe is not yet acting fast enough.
While Russia has put its economy on a military footing, the EU has not fulfilled its promise last year to supply Ukraine with one million artillery shells by this month.
However, the Czech Republic is spearheading its own initiative to secure hundreds of thousands of shells to be sent to Kiev.
France and Estonia floated the idea of using joint loans - similar to the massive aid package the EU offered during the Covid pandemic - to finance defense spending.
But the majority of member states, led by so-called "frugal" countries such as Germany, flatly rejected such a step.
Instead, the leaders called on the EU's lending arm - the European Investment Bank - to expand its funding for the defense sector.
Currently, the bank is limited to investing in only a small number of "dual-use products" that can have both military and civilian functions./BGNES