US finds solution to seize Russian assets for Ukraine’s benefit – Financial Times

The United States has been contending in the Group of Seven talks that there is a legal method for seizing Russian assets without violating international law, and discussions on the matter have been gaining traction in recent weeks.

Financial Times and European Pravda write about it.

The US has not publicly supported seizing Russian assets but, in recent weeks, has taken a more assertive stance in private discussions at the G7, arguing that there is a path to holding assets that is "consistent with international law."

"Members of the G7 and other particularly affected states could seize Russian sovereign assets as a countermeasure to encourage Russia to stop its aggression," says a US government discussion paper seen by the Financial Times.

It is explained there that given Russian aggression in Ukraine, confiscation of assets can be "applied as a legal countermeasure by those states that suffered as such and were particularly affected by Russia's violation of international law."

An American source confirmed to the FT that Washington is actively negotiating the use of Russian sovereign assets. The interlocutor of the publication believes that the decision can be made quickly.

He also suggested that the G7 leaders could discuss this issue at a meeting in February 2024, before the second anniversary of the Russian Federation's full-scale invasion of Ukraine.

The discussions reported by the FT also suggest that the confiscation of Russian assets could be a source of aid to Ukraine at a time when the US and the EU have not approved financial support for 2024 due to internal disputes.

"We must find a way to get money to Ukraine in any form. And more and more countries are pointing to the assets and wondering why they are still there," said one of the EU diplomats who participated in the negotiations at the EU summit this week.

It should be noted that the European Union plans to attract 15 billion euros from frozen Russian assets to provide financial assistance to Ukraine.

In addition, on December 12, the European Commission approved a proposal for a legislative act on using revenues from frozen Russian assets to recover Ukraine.

A high-ranking official of the European Commission told journalists on Tuesday in Brussels that the text of the proposals would not be made public; it would be submitted to the European Council for study and subsequent decision-making.

For reference:

On December 14-15, a summit of the leaders of the European Union was held in Brussels. Several issues related to Ukraine were discussed at it.

Thus, on December 14, the leaders of the countries of the European Union decided to start the process of negotiations on the accession of Ukraine and Moldova to the EU.

At the same time, as a result of the discussion, the heads of state and government were unable to reach a consensus and adopt amendments to the multi-year EU budget for 2024-2027, which included, in particular, the creation of a Ukrainian fund in the amount of 50 billion euros for budget support of Ukraine in wartime and the creation conditions for its post-war recovery.

The European leaders postponed the consideration of this issue until the beginning of next year.

It is important to note that Hungary vetoed the decision, while the remaining 26 countries supported it. Hungarian Prime Minister Viktor Orbán said he would not approve such a decision until the bloc pays all the funds earmarked for his country, which have been frozen.

At the same time, the Ministry of Foreign Affairs of Ukraine stated that the decision on 50 billion euros has already been made in principle. In January, the completion of all legal procedures should take place.