At a conference hosted by the Netherlands and the Council of Europe in The Hague, the convention establishing the International Compensation Commission for Ukraine’s war damages was opened for signature. More than 30 countries, alongside Ukraine and the Council of Europe, signed the agreement.

The first signatures were affixed by Ukrainian Foreign Minister Andrii Sybiha, Dutch Foreign Minister David van Weel, and Moldovan Foreign Minister and Deputy Prime Minister Mihai Popșoi. The ceremony was attended by Dutch Prime Minister Dick Schoof, EU High Representative for Foreign Affairs and Security Policy Kaja Kallas, Council of Europe Secretary General Alain Berset, and Ukrainian President Volodymyr Zelensky.

Mandate and Structure of the Commission

Under the convention, the International Compensation Commission will operate as an independent body within the institutional framework of the Council of Europe. Its senior leadership will consist of an Executive Director, a Commissioner, and a Secretary General.

The commission will function as an administrative body responsible for reviewing claims for compensation arising from damage, loss, or harm caused by internationally unlawful acts committed by the Russian Federation in or against Ukraine. This includes damage resulting from acts of aggression in violation of the UN Charter, as well as breaches of international humanitarian law and international human rights law.

While the location of the commission’s headquarters has not yet been determined, the agreement stipulates that the commission will also maintain an office in Ukraine to support its operations.

Financing and Debated Funding Sources

The convention provides that a compensation fund may be established or designated once financing for payments awarded by the commission is secured. However, detailed information on the source of this fund is not specified. It is stated that the signatory countries will not contribute directly to the compensation fund, while public debate continues over whether proceeds from frozen Russian assets could be redirected for this purpose.

Until Russia covers the commission’s costs, its operating expenses will be financed through assessed annual contributions from member states and voluntary donations. EU High Representative Kaja Kallas has announced that the EU will provide €1 million to support the commission’s preparatory work.

Zelensky Presses for Security Guarantees

Following talks in The Hague with Dutch caretaker Prime Minister Dick Schoof, President Zelensky renewed his call for legally binding security guarantees as a prerequisite for any ceasefire or future peace negotiations with Russia. He stressed that major questions remain unanswered about how Ukraine could be protected without NATO membership.

“There are many questions about how we can be protected without being a NATO member,” Zelensky said, adding that comprehensive security guarantees are essential. He also referred to meetings held in Berlin on Monday, during which participating countries pledged concrete contributions to Ukraine’s security.

Zelensky declined to name which countries would take part in a planned multinational security force, saying details would be outlined in a document to be published only after a ceasefire is achieved.

Part of a Broader Legal Process

Since Russia launched its invasion on February 24, 2022, the Council of Europe has taken multiple steps to ensure full accountability for human rights violations and serious breaches of international law, and to secure compensation for the victims of Russia’s aggression.

At the Council of Europe Summit held in Reykjavik, Iceland, on May 16–17, 2023, a registry was established to document damage caused by Russia’s aggression against Ukraine. To date, 44 countries and the European Union have joined the registry.

On June 25, President Zelensky visited the Council of Europe and signed a landmark agreement with Secretary General Alain Berset to establish a Special Tribunal to prosecute the crime of aggression against Ukraine. This mechanism aims to address the crime of aggression, which falls outside the scope of the International Criminal Court’s current Ukraine investigation.

Most recently, the Council of Europe formally opened the convention establishing the International Compensation Commission for signature.

According to World Bank estimates released in December 2024, the cost of Ukraine’s reconstruction is expected to reach $524 billion, underscoring the scale and significance of the new compensation mechanism.