Germany to confiscate frozen Russian assets: Merz names key condition

German Chancellor Friedrich Merz said that Germany and its allies are ready to move to confiscate frozen Russian assets if it is legally permissible.

According to him, new sanctions against Russia in the energy and banking sectors are also being discussed, as well as additional measures on personal sanctions.

‘The possibility of seizing Russian assets is currently being explored. If there is an opportunity to use these funds on a solid legal basis, we will do so. However, we must also be aware of the risks that such a step could entail for the European financial market.’

A number of Western officials, particularly in Germany and the European Central Bank, are cautious about the direct confiscation of Russia's sovereign reserves, warning that such a move could face legal difficulties and undermine the euro's status as a reserve currency. Merz said:

‘We, the heads of state and government, are united in our view that we must exhaust all possible options. We are discussing further sanctions in the energy and banking sectors, as well as additional steps regarding assets and sanctions against individuals."

Source: Unian