{"id":3723,"date":"2023-07-16T13:02:30","date_gmt":"2023-07-16T11:02:30","guid":{"rendered":"https:\/\/www.dhcab.com\/?p=3723"},"modified":"2023-07-16T13:02:30","modified_gmt":"2023-07-16T11:02:30","slug":"eu-and-ecb-fail-to-agree-on-how-to-use-profits-from-russian-assets-to-rebuild-ukraine","status":"publish","type":"post","link":"https:\/\/www.dhcab.com\/?p=3723","title":{"rendered":"EU and ECB fail to agree on how to use profits from Russian assets to rebuild Ukraine"},"content":{"rendered":"<div class=\"postie-post\">\n<div>\n<div dir=\"auto\">The European Union sparred with the European Central Bank over plans to use profits from over \u20ac200 billion ($217 billion) in frozen Russian central bank assets to rebuild Ukraine, Bloomberg reported, citing its sources. <\/p>\n<p>European Commission Vice President Valdis Dombrovskis countered ECB President Christine Lagarde&#8217;s warning that moves against the sanctioned holdings could threaten the eurozone&#8217;s financial stability and liquidity of the common currency.<\/p>\n<p>Yet the Commission pushed back against the ECB&#8217;s arguments, saying that any risk occurred \u2013\u00a0and was assessed \u2013\u00a0when Russian assets were initially blocked in February 2022, and that none of those worries had materialized so far. <\/p>\n<p>Nonetheless, ECB chief Lagarde noted that a possible windfall tax on frozen Russian assets could undermine the euro and lead to a re-think among reserve holders. She added that the amount at stake was far greater than the few billions the move would generate for Ukraine.<\/p>\n<p>The dispute between the European Commission and the ECB has also now divided EU member states, sources said. <\/p>\n<p>Russia&#8217;s frozen assets are expected to generate about \u20ac3 billion in windfall profits or even more. Over half the assets are in cash and deposits, while a substantial amount of the remainder is in securities that will transform to cash as they mature in the next two to three years.<\/p>\n<p>Many of the funds are in Belgium at settlement giant Euroclear, where they generated nearly \u20ac750 million by 1Q2023.<\/p><\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The European Union sparred with the European Central Bank over plans to use profits from over \u20ac200 billion ($217 billion) in frozen Russian central bank assets to rebuild Ukraine, Bloomberg reported, citing its sources. European Commission Vice President Valdis Dombrovskis countered ECB President Christine Lagarde&#8217;s warning that moves against the sanctioned holdings could threaten the [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":3724,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[25],"tags":[],"class_list":["post-3723","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-global-issues"],"_links":{"self":[{"href":"https:\/\/www.dhcab.com\/index.php?rest_route=\/wp\/v2\/posts\/3723","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.dhcab.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.dhcab.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.dhcab.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.dhcab.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=3723"}],"version-history":[{"count":0,"href":"https:\/\/www.dhcab.com\/index.php?rest_route=\/wp\/v2\/posts\/3723\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.dhcab.com\/index.php?rest_route=\/wp\/v2\/media\/3724"}],"wp:attachment":[{"href":"https:\/\/www.dhcab.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=3723"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.dhcab.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=3723"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.dhcab.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=3723"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}