Putin proposes using frozen assets to fund Gaza peace board

Russian President Vladimir Putin has put forward a proposal to finance a U.S.-initiated peace effort for Gaza using Russian assets frozen by the West. Speaking at the Kremlin on Thursday ahead of a meeting with U.S. envoys, Putin stated Moscow is prepared to allocate $1 billion to the newly formed "Board of Peace," specifically to aid Palestinian reconstruction.

Linking Frozen Assets to Gaza Reconstruction

During a meeting with Palestinian President Mahmoud Abbas, Putin declared, "We are ready to direct $1 billion to this new structure... First and foremost to support the Palestinian people and to direct these funds to the reconstruction of the Gaza Strip." He noted the issue of the frozen assets had already been discussed with American officials and emphasized Russia's "principled and not opportunistic" stance on the Palestinian issue. The proposal cleverly ties the release of seized Russian funds to a humanitarian cause, challenging the West's moral and legal position.

Upcoming Talks with US Envoys

The Russian leader made the remarks prior to a scheduled meeting with U.S. Special Envoy Steve Witkoff and Jared Kushner, President Trump's son-in-law, in Moscow later on Thursday. The discussion is expected to cover this financial proposal as well as other bilateral matters. Earlier on Thursday, Witkoff stated in Davos that significant progress had been made in Russia-Ukraine peace talks, noting negotiations were "down to one issue," indicating a potentially broader diplomatic agenda for the Moscow meeting.

Context and Complications for the Board

The White House announced the Board of Peace last week, with permanent membership reportedly requiring a $1 billion contribution. While dozens of nations have been invited, including Ukraine, the potential inclusion of both Russia and its ally Belarus has created complications. Ukrainian President Volodymyr Zelenskyy confirmed his invitation but openly questioned how Kyiv could participate alongside the nations actively waging war against it. Putin's conditional funding offer adds a new layer of financial and political complexity to the board's formation and operations.