Russia’s Central Bank sues Belgian clearinghouse Euroclear over frozen assets as E.U. weighs ‘reparations loan’ to Ukraine
The Bank of Russia has commented for the first time on the European Commission’s plans to use its frozen assets held in Western countries for a “reparations loan” to Ukraine. IIn a statement, the Central Bank said that any “direct or indirect use” of its assets would be “illegal and contrary to international law,” including the principle of sovereign immunity of assets. The Bank of Russia pledged to “challenge unconditionally” any actions leading to the unauthorized use of its assets “in all available competent bodies,” and to seek enforcement of resulting judicial decisions in United Nations member states.
Shortly afterward, the Central Bank issued another press release announcing that it was filing a lawsuit in the Moscow Arbitration Court against the Belgian depository Euroclear over its “illegal actions.” (The bulk of Russia’s frozen assets is held at this depository.) In its claim, the Bank of Russia is seeking compensation for losses it says it has incurred. “Through the actions of the Euroclear depository, harm was inflicted on the Bank of Russia, stemming from its inability to dispose of monetary funds and securities,” the statement said.
You’re currently reading Meduza, the world’s largest independent Russian news outlet. Every day, we bring you essential coverage from Russia and beyond. Explore our reporting here and follow us wherever you get your news.
In 2022, Western countries froze assets belonging to Russia’s central bank totaling about 260 billion euros. Most of these funds — roughly 190 billion euros — are held in accounts at the Belgian depository Euroclear. Euroclear earns profits from the frozen Russian assets, but in 2024, those proceeds were directed toward financing Ukraine. Over the past three years, European leaders have repeatedly discussed the possibility of confiscating Russia’s frozen assets.
In 2025, the European Commission presented a proposal for a “reparations loan” to Ukraine, secured by Russian assets. Under the plan, Ukraine would receive a €140-billion loan, which would be repaid after the war ends and only once Moscow compensates Kyiv for damage caused by the invasion. Belgium has come out firmly against the proposal, fearing legal consequences, including lawsuits from Moscow, and the prospect of being left “alone” with Russia when it demands the return of the money. Banking officials in other European countries have raised similar concerns.
