Berlin open to using Russian assets frozen in Germany to help Ukraine

German Foreign Minister Johann Wadephul has said Berlin is theoretically open to the possibility of making Russian state assets frozen in Germany available for a war reparations fund for Ukraine as proposed by Brussels.

However, the plans by the European Commission would first have to be reviewed, Wadephul said ahead of the annual Ministerial Council meeting of the Organization for Security and Co-operation in Europe (OSCE) in Vienna on Thursday.

"This is, of course, uncharted legal territory," Wadephul said, but added that Berlin was "pursuing the clear political goal of making these assets usable" because Ukraine needs financial support and Russia will have to answer for its war.

The minister said Berlin was in close consultations with all EU member states "with the aim of reaching a fruitful outcome at the European Council before Christmas."

European Commission President Ursula von der Leyen hopes that EU leaders will agree on using frozen Russian assets held in the bloc to aid Ukraine during the next leaders' summit set to take place from December 18-19.

According to EU officials, the commission is looking to unlock Russian funds frozen in Belgium, Germany and other member states to provide Kiev with a loan for reparations of up to €210 billion ($245 billion).

Germany has so far not disclosed how much Russian central bank money is held in the country, but revealed that the value of total Russian assets frozen due to the invasion of Ukraine is some €3.5 billion.

Russian central bank assets managed by the Belgian financial institution Euroclear are estimated at around €185 billion.