US proposes seizing all frozen Russian assets to increase pressure on Putin, CNN reports
Pravda Ukraine
The Biden administration is working to persuade European countries to support transferring approximately US$300 billion of frozen Russian central bank assets to an account that would only be unlocked as part of a peace agreement.
Source: CNN
As his term nears its end, President Biden’s administration is making a final push to seize hundreds of billions of dollars in Russian assets, viewing it as a potential leverage for Ukraine. However, the US faces significant scepticism from European countries regarding the confiscation of US$300 billion in frozen Russian assets.
The majority of these funds are held in European banks, with a smaller portion in US financial institutions. As one administration official told CNN, seizing these assets could send a clear message to Moscow: “If you want your money back, you’re going to have to come talk”.
Biden’s team has discussed the issue with President-elect Donald Trump’s advisors, including Marco Rubio, set to be Secretary of State, and Michael Waltz, the future National Security Advisor. Sources close to the matter suggest that Trump’s team generally supports this strategy, seeing it as a potential way to push Russia into negotiations. Trump himself is eager for a swift end to the war, which he believes has dragged on too long.
However, European partners are wary, concerned that direct confiscation of Russian assets could violate international law. This scepticism in Europe makes it unlikely that any agreement will be reached before Trump takes office.
American officials note that Friedrich Merz, leader of Germany’s Christian Democratic Union and a potential future Chancellor, has shown some willingness to consider the strategy. However, he has yet to take office.
Biden had planned to discuss this issue with Volodymyr Zelenskyy during a meeting in Rome this week, but the meeting was cancelled due to fires in Los Angeles. While Biden spoke with Zelenskyy by phone last Friday, it remains unclear whether Russian assets were discussed.
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