The United States has expressed full support for a proposal by the European Commission to allow EU governments to use some of Russia's frozen sovereign assets as a tool to aid Ukraine and pressure the Kremlin, according to Reuters. The mechanism would allow the use of up to 185 billion euros of the total assets that have been blocked in Europe since the start of a full-scale invasion in 2022.
The European Commission's initiative envisages that these funds will be used without formal confiscation, meaning that the legal status of the frozen assets will be preserved, but a mechanism will be created for their temporary use to finance aid to Ukraine and reconstruction. The document itself should convince the capitals of EU member states to agree to technical and legal solutions that will ensure rapid access to the funds if approved.
However, the plan is currently stalled by objections from a number of countries, including Belgium, where most of these assets are concentrated (due to the settlement infrastructure and storage of financial instruments). According to reports, the Belgian authorities are demanding “clear and reliable guarantees” before agreeing to use the assets. In addition, recent incidents with the detection of drones over Belgian airports and military facilities have pushed Berlin and Brussels to be cautious – Germany directly links these incidents to pressure in the discussion about Russian assets. The Kremlin denies involvement in the drone cases and warns of a “painful response” if its funds are withdrawn.
Washington, according to Reuters, confirmed that America "absolutely supports" the EU's steps regarding the possibility of using frozen assets as a tool to pressure the Kremlin and help Ukraine. US sources emphasize that this is consistent with the policy of strengthening economic measures against Moscow.
In parallel with the discussion of the mechanism for using frozen assets, the United States continues to increase sanctions pressure on the Russian energy sector: in late October, the American administration imposed restrictions on major Russian oil companies, including Rosneft and Lukoil. This decision is aimed at reducing the Kremlin's financial capabilities for waging war and forcing it to negotiate. Reuters notes that the economic measures are complemented by possible further measures and careful monitoring of the consequences of the sanctions.
