Some obstacles: why the European Union may not give Ukraine arrested assets of the Russian Federation

It is noted that the transfer of the arrested funds to Ukraine is a complex procedure, since international law does not have a clear way of arrest of assets without voting in the UN Security Council, the decision of the International Court, etc. The problem is that each of them requires Moscow's consent. According to the publication, the Ambassadors of 27 EU Member States are convinced that they will face huge legal problems.

Therefore, the leaders of the bloc have already informed the European Commission that they would only agree with a legally plausible proposal. For example, to install a tax on unforeseen income for private firms with frozen Russian assets. According to experts, such a plan is legally justified. For example, a private clearing center and a securities depository in Belgium have stopped all financial agreements with Russia after sanctions. In this case, such holdings generate profit and further.

For example, EUROCLEAR has received 720 million euros of income only following the first quarter of this year. This profit could be taxed with a large tax - at the rate that is approaching 100% - to earn income. The settlement chamber saves something to compensate for cash management costs, as well as for any higher capital requirements that are assigned by regulators.

Previously, it became known about the differences between the EU Central Bank and the leaders, as the head of the ECB Christine Lagarde is convinced that actions against the sanctions assets of the Russian Federation can lead to the financial crisis in the European Union, and will affect the liquidity of a single currency.

But in the European Commission did not agree with the words of Lagarda, emphasizing that any risk was already estimated during the first blocking of Russian assets in February 2022, when Russia only invaded Ukraine. We will also add that at the end of 2022, the United States approved legislative changes that opened the possibility of using frozen funds of Russians for the needs of Ukraine.