Confiscation war: European division over billions in frozen Russian assets
Moscow’s threats to… "Respond harshly" On Western investments in response to the freeze of Russian assets in Europe, concerns in capitals The European Union is still hesitant about using these funds to support Ukraine.
European plan collides with a Russian threat
This comes after the European Union agreed last week to freeze 210 billion euros in the assets of the Russian Central Bank indefinitely, as part of a plan to convert them into a 90 billion euro loan to Ukraine over the next two years. In return, I promised ""With the harshest response" If its sovereign assets are used, a threat that has raised particular concern in Belgium, Italy and Austria.
European division
The most prominent manifestation of the division between European leaders was evident in Belgium, which hosts the majority of the assets frozen through the Securities Depository Corporation. "Euroclear". Belgian Prime Minister, Bart de Wever, believes that the risks of Russian retaliation for his country are very great, and has called on members of the bloc to provide financial and legal guarantees. "Unlimited" To bear the burden, which other capitals refuse.
On the other hand, Germany, the main driving force of the plan, is pushing forward, emphasizing the principle that all countries bear the same risks, and believes that using Russian assets is the only way to finance Ukraine without incurring additional debt.
Belgian fears
fears Brusselsthan to be "Euroclear" The first victim of Russian retaliation, assets worth 17 billion euros on behalf of its clients are still held in Russia and subject to confiscation.
According to the Kiev Institute of Economics, Western companies own at least $127 billion in assets in Russia until 2024. Russia has already confiscated or frozen the assets of at least 32 Western companies, causing losses of at least $57 billion.
On the other hand, Italy has expressed its concern about… Potential risks, while Austria fears any action against a bank "Raiffeisen"which generated revenues of $2.9 billion in Russia last year. There are still bank branches such as… "UniCredit" Italian and"Raiffeisen" Active in Russia.
Russian Lobbying Papers
Owned by Russia "Trump card" Through accounts where revenues and profits from Western investors estimated at billions of dollars are held, they can be transferred to finance the Russian fiscal deficit if the European Union takes a step against its frozen assets.
The Russian TASS agency reported last Monday that the bank The Russian Central Bank filed a lawsuit in Moscow demanding 18.2 trillion rubles ($229 billion) from the securities company "Euroclear" Which is based in Brussels.
The Russian Parliament warned last November that any confiscation of Russia’s assets by the European Union must be met with legal action against Belgium and the securities company. "Euroclear"warning that Moscow could also confiscate the assets of investors from… "Unfriendly countries".
- For more: Follow Khaleejion 24 Arabic, Khaleejion 24 English, Khaleejion 24 Live, and for social media follow us on Facebook and Twitter
