Putin Offers Frozen Assets for Ukraine Rebuilding
Russian President Vladimir Putin has expressed readiness to use frozen Russian assets to rebuild Ukrainian territories damaged during the conflict, but only after a peace treaty is concluded. This proposal was made ahead of planned talks with U.S. envoys Steve Witkoff and Jared Kushner on January 22, 2026.
Putin also announced a plan to allocate $1 billion from frozen assets to U.S. President Donald Trump's proposed Board of Peace, which would oversee the Gaza ceasefire. This announcement was made during a meeting of the Russian Security Council.
Details of the Proposal
Putin stated that the remaining funds from Russian assets frozen in the U.S. could be used to rebuild Ukrainian territories following a peace agreement. Discussions regarding this possibility are reportedly underway with representatives of the U.S. administration.
The total amount of Russian assets held in the U.S. is estimated to be between $4 billion and $5 billion. This is a small portion of the approximately $300 billion in Russian assets frozen worldwide, with the majority held in Europe.
Context and Implications
The offer is viewed by some as an attempt by Russia to appeal to the American president and avoid further economic penalties. Russia has been seeking to avoid escalating U.S. penalties.
It is important to note that the $4 to $5 billion held in the U.S. is a fraction of the funds needed for Ukraine's reconstruction.
Frozen Russian Assets
Western countries froze Russian Central Bank funds following Russia's invasion of Ukraine in February 2022. As of late 2025, the legality of confiscating these assets to pay for Ukraine's reconstruction remains disputed.
The G7 countries and the European Union have stated that approximately $300 billion in Russian Central Bank assets will remain frozen until Russia compensates Ukraine for the damage caused.
Conclusion
Vladimir Putin has proposed using frozen Russian assets in the U.S. to rebuild war-torn Ukraine after a peace deal is struck. He also plans to allocate $1 billion to the Trump-promoted Board of Peace. These offers come as Russia seeks to avoid further economic penalties and engage in peace talks with the U.S.
