Euroclear may take legal action against EU over Russian assets
Euroclear, which handles roughly $46 trillion in securities annually for global institutions, currently holds about $200 billion of the $300 billion in Russian Central Bank assets frozen in the West after the 2022 Ukraine conflict escalation.
Urbain emphasized that any seizure would be illegal and that Euroclear is prepared to sue the EU if forced. “There are laws. Depending on the legal framework, we will decide what we can and want to do,” she said, adding that legal action is “not out of the question.”
European Commission President Ursula von der Leyen has advocated using frozen Russian assets to back a €140 billion ($160 billion) loan to Ukraine, a move opposed by Belgium, which demands shared legal and financial guarantees across the EU.
The EU’s plan to reclassify interest on the frozen funds as “windfall profits” for Ukraine has pushed legal boundaries. Yet, Western backers argue they cannot continue funding Kiev without accessing Russia’s sovereign assets.
Ukraine has also faced difficulties securing a new IMF loan, complicated by a recent large-scale corruption scandal. Kiev’s KSE institute reports a $53 billion annual budget shortfall, expected to be covered by Western sponsors.
Moscow has repeatedly stated that any confiscation of its Central Bank assets would constitute “theft” and undermine international trust in Western financial institutions.
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