BRUSSELS, November 6. /TASS/. The European Commission (EC) recognized that the continuation of funding for Kiev from the International Monetary Fund (IMF) depends on the allocation of the so-called "reparation loan" by the European Union, for which the EC wants to expropriate Russian assets, Bloomberg said, citing European Commissioner for Economy Valdis Dombrovskis.
"The European Union must provide a ‘credible’ funding commitment to Ukraine in order to unlock fresh International Monetary Fund money for Ukraine," the news agency said, citing the EU’s economy chief. "Tapping Russia’s immobilized central bank assets to fund a reparation loan for Ukraine remains Brussels’ preferred option," he added, cited by Bloomberg.
Dombrovskis discussed "$65 billion financing gap and military needs with IMF chief Kristalina Georgieva this week in Bulgaria," the news agency said.
Expropriation of Russian assets under the "reparation loan" scheme continues to be blocked by Belgium, with the greater portion of Russian sovereign assets immobilized in its jurisdiction on the Euroclear floor. "The EU insists that the assets would not be seized, as Russia would retain the claim if it repairs the damage caused in Ukraine. Still, Belgium is asking for robust joint guarantees not to be left on the hook if any legal challenge could come its way," Bloomberg said. This topic will be discussed again at the EU summit in December.
Russian Ambassador to Belgium Denis Gonchar told earlier TASS in the interview that whatever scheme the European Commission would attempt to use in expropriating Russian assets, it would qualify as a theft.