Russia vows symmetrical response if West confiscates assets
Date
2/28/2024 6:59:01 AM
(MENAFN) In response to recent threats by Western nations to confiscate Russian assets blocked abroad, Russia's Finance Minister, Anton Siluanov, has issued a stern warning of a "symmetrical response" if such actions are carried out. Speaking in an interview with RIA Novosti on Monday, Siluanov highlighted that Western states themselves have assets in Russia that could be at risk if the frozen funds are tapped.
Siluanov emphasized that Moscow is closely monitoring the decisions made by Western countries and stated, "We have frozen no less [Western funds]. Any actions with our assets will receive a symmetrical response." The ongoing tensions surrounding the Ukraine conflict have led to an estimated USD300 billion in assets belonging to the Russian central bank being blocked by Western countries since February 2022.
While the United Kingdom and United States have advocated for the outright seizure of these funds to support the Ukrainian government, the European Union has taken a more cautious approach, suggesting a plan to seize the interest earned from the assets held at the clearinghouse Euroclear. European countries have expressed concerns that an outright confiscation could have negative repercussions on the Western financial system and erode trust in the euro.
Siluanov refrained from specifying the amount of Western assets currently held in Russia.
However, calculations by RIA Novosti suggest that these assets roughly equal the size of Russian funds frozen abroad. The report last month indicated that total foreign direct investments in the Russian economy by the European Union, G7, Australia, and Switzerland amounted to USD288 billion at the end of 2022.
As geopolitical tensions persist, the potential for reciprocal actions in the realm of asset seizures raises concerns about further escalation between Russia and Western nations, adding complexity to an already strained international landscape.
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