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EU Backs Emergency Powers to Keep €210 Billion in Russian Assets Frozen Indefinitely

The step clears a path for a Ukraine financing plan ahead of next week’s summit on guarantees.

Overview

  • EU ambassadors approved a revised Article 122 measure and launched a written procedure for formal sign‑off, enabling the Commission by qualified majority to maintain the freeze without six‑monthly unanimous renewals.
  • The mechanism covers roughly €210 billion in Russian sovereign assets, largely held at Belgium‑based Euroclear, and is intended to keep them blocked until Russia ends its war and pays reparations to Ukraine.
  • Russia’s central bank filed a lawsuit in Moscow against Euroclear and declared the EU plans illegal, foreshadowing broader legal challenges and potential retaliation.
  • Belgium continues to object to a reparations‑style loan over liability risks, with EU capitals working on binding guarantees ahead of the Dec. 18–19 leaders’ summit; diplomatic sources say Germany is preparing €50 billion in guarantees.
  • Hungary and Slovakia oppose the move, and Viktor Orbán denounced the decision, but the shift to qualified‑majority voting removes their ability to veto future renewals of the asset freeze.