After disagreements among world economic officials over how to use Russia's central bank assets to help Ukraine, French Finance Minister Bruno Le Maire on Wednesday said the seizure of frozen assets was under international law. He said it would be a violation and was exposed to the public's attention.
The comments came on the sidelines of the Group of 20 (G20) finance ministers meeting in Brazil, where Treasury Secretary Janet L. It was issued the day after the government suggested that it was justified. So.
Officials from Group 7 developed countries have been debating for months over whether they could legally seize more than $300 billion in Russian central bank assets hidden in Western countries and use the funds to help Ukraine. I've done it. These discussions have become more urgent as U.S. and European political support for continuing to provide economic and military support to Ukraine has declined.
Yellen initially had concerns about the feasibility of freezing or seizing Russian assets, but on Tuesday she offered her clearest response to date to the idea of unlocking the “value” of immobilized Russian assets. expressed public support.
“While we must act together in a deliberate manner, we believe there is a strong international legal, economic and moral basis for moving forward,” Yellen said.
But Le Maire, who spoke with Yellen hours before the private meeting, denied the allegations.
“There is no legal basis to seize Russian assets, and we should never act if we do not comply with international law and the rule of law,” Le Maire said, according to a transcript of his remarks. .
Western officials have given little thought to how Russia's roughly $300 billion in central bank assets, mostly held in the European Union, could be used to provide economic and military support to Ukraine. I've been considering the options. This includes the European Commission's proposals to use the interest earned on these assets, to use the funds as collateral to borrow funds on behalf of Ukraine, or to give funds directly to Ukraine.
As Ukraine's military situation becomes more dire, there are signs of growing momentum among Western policymakers to exploit Russian assets. British Prime Minister Rishi Sunak this week urged the prime minister to be more proactive in finding ways to legally seize Russian assets. But France and Germany have called for a more measured approach, and Russia has vowed to retaliate if its assets are seized.
In a speech to the European Parliament on Wednesday, European Commission President Ursula von der Leyen expressed support for using profits from these assets to support the Ukrainian military.
“The time has come to start talking about using the windfall of frozen Russian assets to jointly purchase military equipment for Ukraine,” she said. “Ultimately, this means that Europe is responsible for its own security.”
Some legal scholars believe that states holding Russian assets have the right to cancel their obligations to Russia and apply those assets to debts Russia owes for violations of international law under the so-called international law against states. claims.
Yellen expressed support for the countermeasure concept at a press conference on Tuesday.
“There is a counter-theory that I believe has sufficient legitimacy under international law,” Yellen said, adding that Western countries should seek legislation to ensure that seizures of Russian assets comply with domestic law. He pointed out that enactment is still necessary.
The Treasury Secretary declined to endorse this approach, saying allies should act together.
Le Maire said Wednesday that the countermeasure argument was insufficient.
“We need to be very aware that we need a very strong legal basis to make such an important decision to utilize national assets,” he said.
He further argued that any move to seize Russian assets would require support from the G20, which would be unrealistic as Russia is a member of the group.
“There should be no division of any kind between the G20 countries,” Le Maire said. “You will create further division at a time when we need more unity to support Ukraine.”
Eshe Nelson Contributing reports from London, Monica Pronchuk From Brussels.
