The complication is that neither Belgium nor any of the Group of 7 nations is at war with Russia

During the Crimean War (1853-56) the British and Russians dutifully paid interest to the other on old debts even as they slaughtered each other on the battlefields

Attitudes, practices and legal theories have clearly changed in the last 170 years. The question is, how much? 

It appears that the United States is willing to hit Russia over its invasion of Ukraine a lot harder than the Europeans are. That’s putting stress on Western alliances.

What should happen to about $200 billion worth of Russian assets that are frozen in Euroar, a Belgium-based institution that processes financial transactions. 

Under Euroclear’s policies, Russia isn’t entitled to interest earned on the money while it’s trapped in its system. But what about the principal? Can that legally be seized to aid in the war effort?

The complication is that neither Euroclear nor Belgium nor any of the Group of 7 nations is at war with Russia.  

Grab the money anyway, some Americans say.

The G7 has said the assets will remain frozen until Russia ends its invasion and pays reparations for the damage it has inflicted on Ukraine. 

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“The Economic Consequences of the Peace” 

About John Maynard Keynes at Rolf Englund Internetional

The Economic Consequences of the Peace | Online Library of Liberty (libertyfund.org)

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I asked Stephan if the right to seize Russia’s assets was a gray area in international law. “International law has nothing but gray areas,” he said.

 In the G7 summit in Apulia, Italy, this month, a tentative compromise was struck  “We’re now implementing” that agreement and have instructions from G7 leaders to lock it down before the end of the year

To me it’s absurd that ... Western nations are being so fastidious about respecting the property rights of Russia even as it pulverizes Ukraine.

Peter Coy New York Times 28 June 2024

The West and Russia’s Frozen Assets - the failure to agree to confiscate

https://englundmacro.blogspot.com/2024/06/the-west-and-russias-frozen-assets.html