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Europe Divided Over Use of Frozen Russian Assets to Aid Ukraine

France resists calls to seize Russian Central Bank funds, citing legal concerns, as pressure mounts to support Ukraine amid shifting U.S. policy.

  • France has expressed reservations about seizing €200 billion in frozen Russian Central Bank assets, citing potential violations of international law and risks to investor confidence.
  • The European Union and G7 nations currently use income generated from these frozen assets, amounting to €2.5-3 billion annually, to fund military aid and reconstruction in Ukraine.
  • Countries like the U.K., Baltic states, and Poland advocate for full asset seizure to support Ukraine, while Germany and France remain cautious about the legal and economic implications.
  • Shifts in U.S. policy under President Trump, including a pause on military aid to Ukraine, have intensified European discussions on alternative funding mechanisms for Kyiv.
  • High-level discussions are ongoing, with France and Germany exploring ways to leverage the assets in future peace negotiations, despite internal and external pressures to act more decisively.
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