UK Premier says West has to be braver in confiscating Russian assets
Date
2/28/2024 6:53:17 AM
(MENAFN) As the Ukraine conflict reaches its two-year mark, British Prime Minister Rishi Sunak has called for increased boldness in Western efforts to confiscate Russian assets frozen abroad. In an op-ed for the Sunday Times, Sunak emphasized that Russia remains the "greatest threat to global security" and urged Western allies to intensify actions against the Russian war economy.
Sunak highlighted the impact of collective sanctions, estimating that they have deprived Russia of USD400 billion, equivalent to financing the invasion for another four years. However, he stressed the need for bolder steps, specifically targeting the hundreds of billions in frozen Russian assets. The prime minister proposed tapping into the interest accrued by these assets and redirecting the funds to Ukraine as an initial step.
In Sunak's vision, seizing the assets themselves should be the subsequent goal, and he called on Ukraine's Western supporters to explore lawful avenues for accomplishing this. The West has already frozen approximately USD300 billion in assets linked to the Russian central bank since the conflict's onset.
While the United Kingdom and the United States advocate for the outright seizure of these funds to support the Ukrainian government, the European Union has taken a more cautious approach. The European Union's plan involves seizing the interest earned from the funds held at the Euroclear clearinghouse. Many European nations express concerns that an outright confiscation could negatively impact the Western financial system and erode trust in the euro.
As the conflict's repercussions continue to unfold, Sunak's call for bolder measures in seizing Russian assets underscores the evolving dynamics of the geopolitical landscape and the ongoing efforts to support Ukraine in the face of Russian aggression.
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