Europe should use money from frozen Russian assets for further military support of Ukraine and relax its fiscal rules to boost defence spending, Czech Prime Minister Petr Fiala said on Monday.

BRUSSELS (Reuters) - Estonia has launched a new push to get fellow EU members to agree to seize frozen Russian assets and use them to help Ukraine, dismissing a Russian idea on how the money could be used as part of a peace deal.

Earlier Monday, Trudeau announced that Canada will provide $5 billion in aid to Ukraine using revenues from frozen Russian assets, after years of Ottawa promising to forfeit holdings associated with Russia’s government and its oligarchs.

Canada will send $5 billion in aid to Ukraine using funds from seized Russian assets, Prime Minister Justin Trudeau said Monday at a peace and security summit in Kyiv.

Russia would insist that part of the money is spent on the one-fifth of the country that Moscow's forces control, three sources told Reuters.

The European Union is studying additional ways to use Russian assets frozen on its territory, including their seizure, to compensate Ukraine for damages. Source: Bloomberg, as reported by European Pravda Details: Bloomberg's interlocutors report that EU officials are discussing various ways to use Russian assets within the framework of the