Europe to use frozen Russian profits to arm Ukraine, Scholz says

According to REUTERS, Ukraine's backers will use windfall profits on frozen Russian assets to finance arms purchases for Kyiv, German Chancellor Olaf Scholz said following a meeting with his French and Polish counterparts aimed at showing unity after weeks of friction.

At a joint press conference in Berlin, Scholz, French President Emmanuel Macron and Polish Prime Minister Donald Tusk reaffirmed their support for Ukraine, whose ammunition-starved troops face their toughest battles since the early days of Russia's invasion two years ago.

European support has become increasingly key as U.S. President Joe Biden has been unable to get a big Ukraine aid package through Congress, and much of his foreign policy energy is focused on the war in Gaza.

Scholz said the leaders had agreed on the need to procure more weapons for Ukraine on the global market and to boost the production of military gear, including through cooperation with partners in Ukraine.

"We will use windfall profits from Russian assets frozen in Europe to financially support the purchase of weapons for Ukraine," Scholz said as he listed European Union efforts to increase support for Ukraine.

European Commission President Ursula von der Leyen called last month for the EU to consider using such profits to "jointly purchase military equipment for Ukraine".

The Commission is expected to make a concrete proposal in the coming days.

Some EU member countries such as Hungary have signalled reservations about the idea, according to diplomats in Brussels. But Scholz's comments suggested he is confident that EU countries will ultimately approve the proposal.

Scholz said the leaders also agreed on the need for the Ukraine Defence Contact group - a U.S.-led group of some 50 countries that provide military support to Ukraine - to set up a coalition to provide long-distance artillery to Kyiv.

A proposal to set up a long-range missile coalition had already been agreed in Paris on Feb. 26. It was unclear whether Scholz' comments referred to this and how Germany, which has opposed sending its long-range Taurus missiles to Ukraine, would participate.

Defence ministers from the contact group are set to meet early next week at the Ramstein U.S. Air Base in Germany.