Time for Belgium and Euroclear to pay up? It is interesting that the ECB and EU seem to be closing ranks around Euroclear on the debate around using immobilised Russian assets for Ukraine. The Belgian depository is being ring fenced now as “systemic - with the argument going that we cannot go after Russian assets there as it might risk a run on the euro or legal action by Moscow which could risk the stability of the Belgian based depository. Both arguments appear more like scaremongering (bollox actually - excuse my French or Flemish) and indeed if Euroclear was so systemically important then it could be indemnified against any future lawsuits by Moscow by the EU. I would argue that the defeat of Ukraine by Russia, which would send Red Army tanks West again, is a much bigger and more likely systemic risk to Europe, and the euro, if we don’t secure Ukraine’s war time financing with the use of immobilised Russian assets. As yet the IMF’s numbers don’t add up and I just doubt the long term commitment by Western tax payers to spend $100 billion a year to keep Ukraine in the war - actually we are already failing here as reflected in ammo shortages now on the front line. The only assured source of long term financing is from immobilised Russian assets.
Ukraine - time for Belgium & Euroclear to pay?
Ukraine - time for Belgium & Euroclear to…
Ukraine - time for Belgium & Euroclear to pay?
Time for Belgium and Euroclear to pay up? It is interesting that the ECB and EU seem to be closing ranks around Euroclear on the debate around using immobilised Russian assets for Ukraine. The Belgian depository is being ring fenced now as “systemic - with the argument going that we cannot go after Russian assets there as it might risk a run on the euro or legal action by Moscow which could risk the stability of the Belgian based depository. Both arguments appear more like scaremongering (bollox actually - excuse my French or Flemish) and indeed if Euroclear was so systemically important then it could be indemnified against any future lawsuits by Moscow by the EU. I would argue that the defeat of Ukraine by Russia, which would send Red Army tanks West again, is a much bigger and more likely systemic risk to Europe, and the euro, if we don’t secure Ukraine’s war time financing with the use of immobilised Russian assets. As yet the IMF’s numbers don’t add up and I just doubt the long term commitment by Western tax payers to spend $100 billion a year to keep Ukraine in the war - actually we are already failing here as reflected in ammo shortages now on the front line. The only assured source of long term financing is from immobilised Russian assets.