Anastasia Pechenyuk21:36, 27.12.22

The prospects for asset recovery appear to be “extremely low” by the CBR.

The Central Bank of Russia assessed the probability of returning the assets of Russian banks blocked in connection with the aggression against Ukraine as low.

As noted in the Central Bank’s report “Perspective Directions for the Development of Banking Regulation and Supervision”, some Russian credit institutions faced the blocking of funds in the National Settlement Depository (NSD) after the imposition of sanctions against it.

“The prospects for the return of these assets appear extremely low, despite the fact that, from a legal point of view, they have not yet been confiscated,” the central bank said.

Blocking of Russian assets 

In connection with Russian aggression against Ukraine, partner countries continue to block the assets of Russian individuals and legal entities on their territory.

In particular, by mid-November, the European Union froze 68 billion euros of Russian assets (most of them in Belgium). The UK has frozen Russian assets totaling £18.4bn ($20.9bn). The United States also has billions of Russian funds frozen. 

At the same time, the partners face problems during the confiscation and transfer of Russian assets to Ukraine. For example, the European Union is still considering the possibility of transferring the frozen assets of the Russian Federation to Ukraine . 

The US Senate has supported a bill on the use of seized assets of the Russian Federation to help Ukraine. The decision of the House of Representatives of the US Congress is expected.

(C)UNIAN 2022