EU Divided Over Seizing €210 Billion in Russian Assets

The European Union is facing internal division over whether to confiscate approximately €210 billion in frozen Russian central bank assets to support Ukraine. While Ukrainian President Volodymyr Zelenskyy has urged Brussels to accelerate loans to cover a €23.5 billion budget deficit, member states remain deadlocked over the legal and financial risks of seizing the principal funds.

Much of the capital is held by Euroclear, a Belgian settlement institution. A proposed Russian Transfer plan suggested the EU take direct custody of the accounts to provide an indemnity for Belgium and Euroclear, shielding officials from Russian legal intimidation and death threats. While European Commission President Ursula von der Leyen has championed the scheme, the EU has so far only agreed to redirect windfall profits from the assets rather than the principal.

Positions within Belgium have shifted or diverged. Foreign Minister Maxime Prévot stated that Belgium is not opposed in principle to using the assets. However, Prime Minister Bart De Wever has rejected the plan, insisting that Belgium cannot bear the financial risks of the seizure. Russia has condemned the freeze as theft and warned of harsh retaliation if the funds are confiscated.