Madrid: Spain has publicly expressed strong support for the European Union’s initiative to utilize frozen Russian assets to aid Ukraine, signaling a firm commitment to European solidarity and the ongoing financial support for the war-torn country. Spanish Economy Minister Carlos Cuerpo emphasized that Madrid is exploring innovative ways to make use of Russian assets that remain frozen across the continent, ensuring that funds are directed to assist Ukraine’s government while maintaining legal safeguards.
In addition to backing financial measures, Spain is actively working to reduce its dependence on Russian energy. Traditionally one of the EU’s significant importers of Russian liquefied natural gas (LNG), Spain is now diversifying its energy sources, notably increasing imports from the United States. This step is part of a broader EU effort to gradually phase out Russian gas and oil, reducing both economic and geopolitical vulnerabilities.
The European Union’s 19th sanctions package against Russia aims to accelerate the ban on Russian LNG imports. While the EU had previously shelved direct sanctions on LNG, it had already prohibited trans-shipments of Russian gas through its member states. Currently, about 19% of Europe’s gas comes from Russia, a sharp decline from 45% before 2022, but countries like Spain, Belgium, France, and the Netherlands continue to rely on Russian LNG. The EU plans to fully eliminate Russian energy imports by 2028, with short-term contracts set to end next year.
One of the most ambitious components of the EU’s plan involves the use of frozen Russian assets to back a “reparation loan” for Ukraine. Under this plan, assets worth approximately €210 billion, largely held in European financial institutions, would be used to guarantee EU-issued bonds. Ukraine would repay the loan only once Russia provides compensation for war damages. The mechanism has been designed to avoid potential vetoes from pro-Moscow EU members, such as Hungary, ensuring smoother implementation while maintaining legal and diplomatic safeguards.
Russia has strongly condemned these proposals, labeling the potential use of frozen assets as theft and warning of legal, economic, and political retaliation. Former Russian President Dmitry Medvedev stated that any nation or EU official involved could face consequences “for generations,” highlighting Moscow’s deep opposition. At the same time, EU officials argue that holding Russia accountable for the destruction in Ukraine is both a moral and strategic necessity, even as some financial analysts caution that such measures could set a precedent affecting international investment confidence.
Spain’s endorsement of these measures illustrates its dual strategy: supporting Ukraine financially while gradually reducing reliance on Russian energy. As Europe moves toward the full implementation of sanctions and innovative financial tools, the unfolding responses from Russia will be closely monitored, underscoring the complex interplay between geopolitics, finance, and energy security in the region.