Economic conflicts between Russia and Western nations continue to escalate.
Since the start of the war in Ukraine, the U.S. and its allies have imposed strict sanctions on Moscow, including freezing around $300 billion in Russian assets held in international financial institutions.
These measures aim to weaken Russia’s ability to finance its military operations.
Now, the Kremlin is preparing its own response.
Transferred to State Ownership
Russian lawmakers are advancing legislation that would allow the government to confiscate the property and financial assets of Western nations deemed "unfriendly."
This plan, revealed by the Russian newspaper Izvestia, could further strain relations between Moscow and the West.
According to the proposed law, assets belonging to Western governments and individuals within Russia could be transferred to state ownership, according to Ziare.
The process would be overseen by a Russian arbitration court, based on recommendations from the Foreign Investment Commission.
The law is framed as a countermeasure against what Moscow sees as illegal asset seizures by Western nations.
Since 2022, Western sanctions have severely restricted Russia’s access to its foreign-held funds.
The United States and European nations froze Russian government reserves, blocked transactions involving its central bank, and imposed restrictions on Russian state institutions.
These actions have limited Moscow’s financial flexibility.
In response, Ukrainian officials have repeatedly called for the confiscation of Russia’s frozen assets to fund military aid and reconstruction efforts.
President Volodymyr Zelensky has suggested using the entire $300 billion for weapons purchases from the United States, a move that would boost American defense industries.
The draft legislation in Russia has reportedly received approval from key government bodies, including the Ministry of Justice, the Central Bank, and the Ministry of Finance.
If passed, it could authorize the seizure of Western-owned properties, financial holdings, and business investments within Russian borders.
Legal experts warn that such measures could escalate economic tensions and lead to further sanctions.
