The head of the Central Bank of Italy (Banca d'Italia) Fabio Panetta warned that the use of profits from frozen Russian assets could affect the international monetary system. Such a step requires careful assessment, he said after a meeting of the heads of finance ministries and central banks from the Group of Seven (G7).
„We need to weigh the pros and cons of these measures, as there may be consequences for the functioning of the international monetary system and this may lead to the weakening of an important weapon of pressure in terms of respect for the law. In this regard, the opportunity to use profits from frozen Russian assets should be carefully evaluated and used carefully, Panetta stressed.
He clarified that central banks “show no doubts” but want to have a stronger legal basis. “It would be paradoxical to take measures in response to a violation of international law that do not take into account the same international law and have no legal basis,” added the banker.
Italian Economy and Finance Minister Giancarlo Giorgetti, who chaired the meeting, announced that there is still no final decision on the issue of the use of profits from Russian assets were made, but some steps forward were made. A day ago, he shared that the question of the use of frozen Russian assets does not meet with a unanimous answer and raises doubts among central banks.
Russian Finance Minister Anton Siluanov said that Russia will give a similar response in case of illegal use of its assets by Western countries, it has the resources to do so .