"The pear is hanging, you can’t eat it" or frozen Russian assets

Europe is faced with a dilemma: are Russia's frozen assets a gift or a problem? The US and Trump are discussing unfreezing, but responsibility for confiscation appears to fall on Europe.

A case worth billions: what will happen to Russia’s frozen assets

Brussels. European politics are in full swing. The focus is on frozen Russian assets worth more than $300 billion. The pear is hanging, you can’t eat it. The playful little hands of politicians are reaching out to the frozen money, but there is one problem – it’s scary.

Who is the last one

Euroclear, the Belgian depositary, the custodian of these “treasures”, first of all denied responsibility. The company's CEO, Valerie Urbain, made it clear: “This is not our problem. If EU decides to confiscate assets, then let them take everything: both money and liabilities.”

Her argument is simple: no one wants to be in a situation where in a couple of years Russia comes back, knocks on the door and says: “Where are my securities?” And they are no longer there, evaporated in the smoke of European bureaucracy.

Expensive confiscation

But little hands are reaching out. No joke, $300 billion! Ukraine, for example, has already proposed spending $30 billion on Patriot air defense systems. The logic is simple: the money is lying around, covered in dust, but we need it now.

Europe listens, but somehow does not nod very actively. Confiscating someone else's property is a tasty idea, but too risky. The political landscape is changing: today everything is in favor, but tomorrow the countries left behind will spend years paying off their debts, and even under the watchful eye of the world community.

USA: playing at someone else's expense

Meanwhile, the United States, as always, is in no hurry to give out its money, preferring to use someone else’s. The plan is simple: America gives Ukraine a $20 billion loan, Europe adds another $20, and Great Britain, Canada and Japan split the rest.

However, according to The New York Times, Donald Trump may consider unfreezing the assets of the Bank of Russia in exchange for reviewing the terms of the loan to Ukraine. True, the Republicans in Congress are already ready to put a spoke in the wheels, and the likelihood of such changes is low. Washington is content with Europe paying for the “Ukrainian feast.” America is ready to allocate $20 billion to Ukraine as part of a large loan of $50 billion. But a significant part of the amount, according to the plan, should be returned from European money.

Dembel chord

But let's return to Europe. No one here is in a hurry to sign documents. It looks like politicians are considering how to leave this problem to their successors. Arranging a demobilization agreement by confiscating assets is a tempting option. True, the consequences can come back to haunt decades of litigation and losses.

Result: a feast for all of Europe

Frozen Russian assets are the case when you want it and you want it. It’s scary to confiscate, it’s impossible to return it. Money remains a bargaining chip in the big game, and Europe is forced to look for ways to eat this “pear” and not choke. Who will ultimately take responsibility? The question remains open. But, as one European diplomat noted, “big politics is rarely fair.”

Author's opinion: olya-la. Everyone wants to be a hero, but not everyone succeeds.

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