Tallinn, together with Kiev, is preparing the next steps regarding the seizure of Russian assets in Estonia, Estonian Foreign Minister Margus Tsahkna said in an interview with “Izvestia” of the Munich Security Conference.
He recalled the law adopted in Estonia on the confiscation of frozen assets of Russian individuals and legal entities and their subsequent transfer to Ukraine.
“This is a certain framework, a system that allows us to act, but its implementation takes time. If the conflict is over, the damages are registered in international courts in The Hague, Ukraine files a lawsuit against Russia and Moscow refuses to pay compensation, then we will be able to use the frozen assets through this mechanism“, he said Tsakhkna.
He did not rule out the possibility of a full confiscation of property.
In the spring of 2024, Estonia adopted a law allowing frozen Russian assets in the country to be transferred to Ukraine as an “advance payment for damages”. Tallinn reported that since the beginning of the military operation in Ukraine, approximately 30 million euros have been frozen in Estonia.
The Russian Foreign Ministry called this decision “blatant robbery” that violates international law. Moscow promised a reciprocal response to such initiatives.
Last fall, the European Union discussed the possibility of using frozen Russian assets to provide a “reparation loan” to Ukraine. Belgium, home to the depository Euroclear, which holds the majority of frozen Russian assets in the EU, has spoken out against the idea. The depository itself has also expressed criticism of initiative.
In mid-December, EU leaders decided to continue financing Kiev in a different way - an interest-free loan from the EU budget of 90 billion euros. Before the decision, the Bank of Russia filed a lawsuit against Euroclear for 18 trillion rubles in the Moscow Arbitration Court, claiming losses caused by the depositary's illegal actions. Income from Russian assets held by Euroclear is used to support Ukraine.