ROME (Reuters) -Italian Prime Minister Giorgia Meloni said on Wednesday that the European Union is discussing possible initiatives regarding the use of frozen Russian assets to help Ukraine, but any steps it takes must respect international law.
The European Commission has proposed to use the cash balances from frozen Russian central bank securities held in Europe to support Ukraine in 2026 and 2027, amid declining U.S. military financing for Kyiv and fiscal struggles across the EU.
The Commission’s plan envisages allowing governments to use up to 185 billion euros ($215.75 billion) – most of the 210 billion euros worth of Russian sovereign assets currently frozen in Europe – without confiscating them.
“We believe, and we are not the only ones, that it is necessary to respect international rules and the principle of legality,” Meloni told the Italian Senate ahead of an EU summit beginning on Thursday.
Under international law, sovereign assets cannot be confiscated, a principle that constitutes a red line for many capitals and for the European Central Bank.
“(We shall) safeguard the financial and monetary stability of our economies and the euro area and ensure the sustainability of any steps that may be taken,” Meloni said during her speech at the upper-house of parliament.
Belgium, where most of the frozen assets are located, is adamant that before it agrees to any plan it would need strong EU guarantees that it would not be left alone to deal with Moscow if the Russian assets had to be suddenly returned.
($1 = 0.8575 euros)
(Reporting by Angelo Amante, editing by Cristina Carlevaro and Gavin Jones)
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