- September 21, 2025
- 3:24 pm
- World News
A bipartisan group of senators introduced the REPO Implementation Act: all ~$5 billion of Russian sovereign assets under U.S. jurisdiction — into an interest-bearing account and then — regular tranches to Ukraine every 90 days. Simultaneously — diplomatic pressure on allies to reprofile at least 5% of their assets.
This is stated in a message from September 19, 2025, on the Senate Foreign Relations Committee’s website.
What this changes and when to expect the money
Key facts — briefly
The U.S. Senate has introduced the REPO Implementation Act of 2025 (REPO 2.0) — a bipartisan initiative by Shaheen, Whitehouse, Risch, Grassley, Blumenthal, and Graham. The document proposes transferring at least $250 million every 90 days to Ukraine from the income of frozen Russian sovereign assets under U.S. jurisdiction.
All ~$5 billion of such Russian assets in the U.S. are planned to be consolidated into an interest-bearing account; from there, regular payments will be made.
The U.S. State Department and Treasury are authorized to conduct a continuous campaign among allies to quarterly reprofile at least 5% of their own frozen Russian assets — approximately ~$15 billion per quarter.
This is a development of the already existing REPO Act (April 2024), which allowed the use of frozen Russian sovereign assets in the interest of Ukraine. It is estimated that > $300 billion of such assets are blocked in the jurisdictions of the U.S. and its allies.
Context: in October 2024, the G7 agreed on a $50 billion loan against future income from frozen assets; the $20 billion American share was disbursed on December 10–11, 2024, without costs to U.S. taxpayers.
What exactly does REPO 2.0 propose
1) Technical infrastructure
All Russian sovereign assets of the Russian Federation (Central Bank, Ministry of Finance, etc.) under U.S. jurisdiction — this is about $5 billion — are transferred to an interest-bearing account. This is important: the money begins to generate income on clear legal grounds, rather than just “lying under freeze.”
2) Regularity of payments: every 90 days — at least $250 million
The bill recommends to the President to direct at least $250 million to Ukraine every 90 days. Regularity is key: Kyiv needs a clear schedule of budgetary and recovery receipts, not “spurts” under political conditions.
3) Extraterritorial diplomacy: 5% from allies
Simultaneously, the Secretary of State (in coordination with the Treasury) is instructed to launch a persistent diplomatic campaign so that allies also begin to quarterly reprofile at least 5% of their assets in favor of Ukraine. In current scales, this is about $15 billion per quarter.
4) Accounting, reporting, “technical amendments”
The Treasury and State Department must report on the volumes of Russian sovereign assets outside the U.S.; the document also includes technical corrections to the basic REPO Act of 2024.
Where the money comes from — and why “without U.S. taxpayers”
The essence of the approach is to use the income and/or base of frozen sovereign assets of the Russian Federation. The already existing G7 mechanism — ERA loans — relies on future proceeds (windfall proceeds) from these assets, primarily concentrated in Europe (Belgium, Euroclear). The U.S. has already transferred $20 billion of its share — and official Washington emphasizes: this is not an expense for taxpayers.
REPO 2.0 logically “docks” American assets to a clear quarterly trajectory. And in Europe, they are simultaneously discussing scaling the credit “bridge” based on €170–210 billion immobilized assets, without resorting to direct confiscation — to bypass legal risks and intra-union vetoes.
Why this is important right now
Ukraine needs predictable money — for air defense, ammunition, energy and housing restoration. The war is long, and “fragmented” financing hits defense capability harder than any slogan deficit. Quarterly payments reduce volatility in Kyiv’s budget and signal to markets: support is systemic and does not consume U.S. taxpayers’ resources.
For allies, this is also a test of coalition discipline. If Europe and the “Group of Seven” transfer the logic of ERA loans into regular direct transfers, Ukraine will receive a new sustainable financing framework, and Russia — a constant economic “metronome tick,” reminding: as long as aggression continues and the freeze is in effect, income from assets works against the Kremlin.
Legalities: “sovereign” vs “private” — and where the line is drawn
An important reservation of the REPO package is that it concerns sovereign assets of the Russian Federation (Central Bank, Ministry of Finance, etc.), and not private savings of Russians. This distinction is crucial in the American legal system and for European lawyers considering exceptions to state immunity as countermeasures in response to aggression. That is why the REPO approach combines legislative solutions with careful financial engineering (interest, special accounts, credit bridges).
What’s next: procedure and risks
This is still a bill
It needs to pass committees, a vote in the Senate and House of Representatives, and then the president’s signature.
Pay special attention to the wording: encourage the President and encourage the Secretary of State. Part of the mechanisms is authorizing-recommendatory, not “automatic payout.” But even in this form, REPO 2.0 creates institutional inertia: a quarterly “checkmark” in the calendar, departmental reporting, and political pressure on allies.
Risks?
Legal and political. In Europe, they are still discussing the balance between confiscation, income use, and credit architecture — to not destroy trust in reserve currencies and avoid precedents that unfriendly regimes might exploit. But the trend of recent months is clear: tools for “monetizing the freeze” are expanding, and the ERA loan architecture is already working.
For readers of NAnovosti in Israel
Why does this concern us?
Because many families here have Ukrainian roots, and Israel’s economy is sensitive to regional stability and global markets. Predictability of external support for Ukraine reduces the risk of prolonged “financial exhaustion” and decreases the likelihood of panic scenarios in energy markets. For Israelis of Ukrainian origin, this is also a moral marker: international law should not be a fiction — the aggressor pays.
Questions and answers (briefly)
Is this new money or “shuffling papers”?
Both. On one hand, the U.S. has already engaged the ERA loan scheme ($20 billion from the American share was transferred in December 2024). On the other hand, REPO 2.0 sets a schedule and accounting for assets within the U.S. (~$5 billion), turning passive freezing into an active cash flow.
What about Europe?
The EU is simultaneously developing a “reparations loan” mechanism based on cash balances in Euroclear (estimated at €170–210 billion immobilized assets). This is not direct confiscation but a way to monetize the “freeze,” reducing legal risks.
How does REPO 2.0 differ from REPO 2024?
REPO-2024 allowed the use of frozen sovereign assets of the Russian Federation. REPO-2025 proposes a regular quarterly rhythm, technical amendments, and external coordination with allies (goal — “at least 5%” from each quarterly).
When will Ukraine see the first such “quarterly” money?
After passing all stages in Congress and the president’s signature — this is not a decree, but a bill. Until then, previously agreed tools (ERA loans) continue to operate.
What this means in simple conclusions
Regularity mode. Transition from “political spurts” to a quarterly schedule.
Signal to allies. The U.S. is not “bearing alone,” but demands shared participation: at least 5% from each, quarterly.
Legal risk minimization. Emphasis on sovereign assets and interest on them reduces the threat of precedents for private property.
Connection with Europe. The EU is preparing to scale the credit “bridge” based on immobilized assets.
