Canada’s Finance Minister Chrystia Freeland affirmed alignment with the United States on the pressing need to seize frozen Russian sovereign assets to aid Ukraine, particularly amidst recent battlefield setbacks.
Ahead of meetings with G7 and G20 counterparts in Brazil, Freeland highlighted discussions with U.S. Treasury Secretary Janet Yellen, emphasizing urgency in unlocking these assets.
“We need to, now more than ever, show Putin that we are serious, that we are not flagging in our support for Ukraine,” Freeland stated, underlining the significance of action on Russian Central Bank assets to demonstrate resilience.
The issue has gained prominence as the Republican-controlled U.S. House of Representatives blocked $61 billion in additional aid to Ukraine.
Freeland acknowledged concerns among some countries regarding the confiscation of approximately $285 billion in Russian assets immobilized since 2022. However, she stressed the importance of addressing these concerns and progressing forward.
Yellen echoed the urgency, recognizing associated risks but downplaying concerns about undermining the role of major global reserve currencies like the U.S. dollar, euro, or Japanese yen.
The European Union and G7 have been deliberating on the utilization of these funds for over a year, with two-thirds of the assets held within the EU, predominantly by Belgium’s clearing house Euroclear.
The coordinated stance between Canada and the U.S. underscores the determination to support Ukraine amid its ongoing challenges.
Freeland’s discussions with Yellen reflect a shared commitment to leverage available assets to bolster Ukraine’s resilience in the face of adversity, emphasizing the need for swift and decisive action on the international stage.
