Confiscation of assets of the Russian Federation frozen in the West may lead to the division of financial markets. This was written by the Bloomberg edition.
The Bloomberg edition reported that the seizure of frozen Russian assets by the West is likely not only to provoke retaliatory measures of the Russian Federation, but also lead to fragmentation of markets. The source specified that Europe would be most severely affected.
The agency emphasised that since the beginning of the Ukrainian conflict, European countries began to violate their own principles, they supported Kiev with weapons and ammunition, imposed an embargo on Russian gas, and also began to produce serious economic pressure against Moscow through sanctions.
At the moment, the U.S. is pressuring Europe to overcome another ban that prevents it from legally seizing frozen Russian funds. Washington insists on the idea of confiscation, Bloomberg reported. European allies of the States are in an uncomfortable position because of the current situation, since it is in their possession that 200 billion dollars of Russian property is located.
“The seizure of assets raises the risk of retaliation, mirror actions and financial fragmentation, making the West’s set of economic sanctions less effective in the future. Some argue that this risk is worth taking, since the US dollar will remain dominant in any case, but the Europeans fear that it is they who will have to take the brunt of the costs,” the agency noted.
We shall remind you that earlier former US President Donald Trump said that the European Union countries should provide financial and military assistance to Ukraine on an equal footing with the USA.