MOSCOW - Russia is ready and willing to end the conflict in Ukraine through peaceful means, Russian President Vladimir Putin said on Friday.

"We are aware of certain signals indicating that Kyiv is ready to engage in some form of dialogue," Putin said during his annual press conference.

"We are equally prepared and committed to bringing this conflict to a peaceful resolution. This must be based on the principles I outlined in June of last year at the Russian Ministry of Foreign Affairs, alongside the elimination of the root causes that precipitated this crisis," he added.

Putin further noted that Russia has not yet seen any indication that Ukraine is prepared to discuss the territorial issue.

During the annual press conference, Putin stressed Russia's battlefield advantages, saying Russian troops were advancing along the entire line of contact while Ukrainian forces were retreating.

The balance on the battlefield has shifted decisively in Russia's favor after Ukrainian troops were pushed out of Russia's Kursk region, he added.

Also during the annual press conference, Putin called the European Union's attempts to seize Russian assets "robbery", warning that such actions could have serious consequences for Europe's financial credibility and the global financial system.

Putin said Russia will defend its interests related to overseas assets primarily in courts, stressing that confiscating Russian property abroad would not be easy and would face legal challenges.

Putin warned that seizure of Russian assets in the EU would go beyond reputational damage, undermining trust in the eurozone and shaking confidence in Europe as a safe place to hold reserves. He said some countries have already begun to doubt the security of their assets stored in Europe.

Putin also said that proposals to extend loans to Ukraine backed by Russian assets would increase the financial obligations of EU member states, many of which are already dealing with budgetary pressures.

Earlier on Thursday, the Central Bank of Russia stated that it will seek compensation from European banks for damages incurred from the blocking of its funds in Europe, according to a statement published on its website.

The central bank stated it will seek compensation from European banks through an arbitration court for the illegal freezing of assets.

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The first lawsuit was filed by the central bank against the Belgian depositary Euroclear in the Moscow Arbitration Court. The claim amounts to approximately 196 billion euros (approximately $229 billion).

"Disposing of our sovereign assets without the consent of Russia – whether it is indefinite blocking, seizure, or an attempt to present their de facto confiscation as some kind of 'reparations loan' – is an absolutely illegal act that grossly violates the norms of international law," said Russian Foreign Ministry spokesperson Maria Zakharova.

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On Dec 12, the Council of the European Union temporarily prohibited any transfers within the bloc of immobilized assets belonging to Russia's central bank back to Russia, citing the ongoing conflict in Ukraine.

Separately, Russia has transferred 1,003 fallen soldiers to Ukraine, while Kyiv has handed over 26 bodies to Moscow, Russian presidential aide Vladimir Medinsky said Friday.

Russia and Ukraine agreed on an "all-for-all" exchange of seriously ill and wounded prisoners, soldiers under the age of 25, and the bodies of fallen soldiers during their second round of talks in Istanbul on June 2.

Russian Foreign Minister Sergei Lavrov said that Russia has transferred more than 11,000 bodies of fallen Ukrainian servicemen to Ukraine, while receiving 201 bodies of Russian soldiers from the Ukrainian side as of Dec 11, 2025.