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Belgian Premier says seizing Russian assets could be ‘an act of war’
(MENAFN) Belgian Prime Minister Bart De Wever has cautioned that fully confiscating Russia’s frozen assets in the EU could be seen as “an act of war” by Moscow, Politico reported on Thursday. He stressed that such a move could provoke retaliation and pose serious risks to the global financial system.
Following the 2022 escalation of the Ukraine conflict, Western nations froze approximately $300 billion in Russian sovereign funds, with around $213 billion held by Euroclear, a Brussels-based clearing house. These assets have since generated billions in interest, with €1.55 billion ($1.63 billion) already transferred to Ukraine last year.
Speaking after a Brussels summit, De Wever emphasized the potential fallout of outright seizure, warning:
“We’re not living in a world of fantasy. We’re in the real world, where if you take €200 billion from somebody, there will be consequences.”
While France and Spain have pushed for direct confiscation to fund Ukraine’s defense, Belgium remains cautious due to Euroclear’s legal liabilities. The company is already facing lawsuits from asset holders, with some cases being pursued in Russian courts.
Currently, interest earnings from the frozen assets are being used to back a $50 billion loan for Ukraine, but most Western nations have avoided full confiscation, fearing legal and financial repercussions.
The International Monetary Fund (IMF) has also warned that such actions could damage trust in Western financial institutions.
Moscow has condemned any move to seize its assets, calling it “theft” and warning of legal action and potential countermeasures against Western investments in Russia.
Following the 2022 escalation of the Ukraine conflict, Western nations froze approximately $300 billion in Russian sovereign funds, with around $213 billion held by Euroclear, a Brussels-based clearing house. These assets have since generated billions in interest, with €1.55 billion ($1.63 billion) already transferred to Ukraine last year.
Speaking after a Brussels summit, De Wever emphasized the potential fallout of outright seizure, warning:
“We’re not living in a world of fantasy. We’re in the real world, where if you take €200 billion from somebody, there will be consequences.”
While France and Spain have pushed for direct confiscation to fund Ukraine’s defense, Belgium remains cautious due to Euroclear’s legal liabilities. The company is already facing lawsuits from asset holders, with some cases being pursued in Russian courts.
Currently, interest earnings from the frozen assets are being used to back a $50 billion loan for Ukraine, but most Western nations have avoided full confiscation, fearing legal and financial repercussions.
The International Monetary Fund (IMF) has also warned that such actions could damage trust in Western financial institutions.
Moscow has condemned any move to seize its assets, calling it “theft” and warning of legal action and potential countermeasures against Western investments in Russia.
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