Russia Threatens To Hunt European Countries Whose Assets

UNSPLASH/Carl Campbell ILLUSTRATION

Russia warned it would pursue any European country that seeks to take its assets following reports the European Union is looking for new ways to capitalize on hundreds of billions of dollars in frozen Russian assets to help Ukraine.

The US and its allies banned transactions with Russia's central bank and finance ministry after President Vladimir Putin sent his troops to Ukraine in 2022.

Europe then blocked Russian state assets worth $300-$350 billion, mostly in the form of bonds of European, US and UK governments stored in European securities.

Reuters reported European Commission President Ursula von der Leyen wanted the European Union to find new ways to finance Ukraine's defenses against Russia using cash balances linked to Russian assets frozen in Europe.

Meanwhile, Politico reported that the European Commission was considering the idea of using Russian cash deposits, opening a new tab at the European Central Bank of maturing bonds owned by Russia to fund the "Reparation Hijaking" for Ukraine.

"If this happens, Russia will pursue EU countries, as well as relegated Europeans from Brussels and each European Union country that has tried to confiscate our property, until the end of this century," Russian former president Dmitry Medvedev wrote on Telegram. , September 15th.

Russia will sue European countries in "all possible ways" and in all possible international and national courts as well as outside the court", Medvedev, who serves as deputy chairman of Russia's Security Council.

Russia says any confiscation of its assets is theft by the West and will undermine trust in US and European bonds and currencies.

European countries say Russia is responsible for Ukraine's destruction in Europe's deadliest land war since the Second World War - and that Moscow should be forced to pay.

However, some bankers have been wary of the precedent for confiscation of state assets against the confidence of foreign countries in storing their money invested in Western government bonds.

Medvedev said earlier this month Russia would take more Ukrainian territory and target British property around the world after London said it had spent about $1.3 billion in cash raised from frozen Russian assets to buy weapons for Ukraine.