Confiscation of Russian assets could undermine confidence in the system of international agreements and laws that Western governments actively uphold. This is why many countries consider such an idea inappropriate, writes the New York Times. Additionally, US Treasury Secretary Janet Yellen and other officials are confident that seizing Russian accounts will undermine confidence in the dollar.
Moreover, according to experts, other countries, fearing such confiscation, will be less inclined to keep money in US and European banks or to make investments. This can hit the economy of Western countries.
Such a move could expose US and European assets held in other countries to a higher risk of future expropriation in the event of an international dispute.
Recall that last January, the legal service of the EU notified the countries of the union of the possibility of using part of the frozen assets of Russia to restore Ukraine. And earlier, the head of the European Commission, Ursula von der Leyen, said that the blocked assets amounting to 319 billion euros, including 300 billion from the Central Bank and 19 billion from Russian oligarchs, should be grouped together in a special fund. The proceeds should be invested and the profits will be used to pay compensation to Ukraine.
The article NYT: West fears to seize Russian assets for fear of undermining confidence in the dollar
