Germany Open to Seizing Russian Assets to Help Ukraine Rebuild

Chancellor Olaf Scholz’s government supports Ukraine’s demand for war reparations but hasn’t yet taken an official position on seizing assets from the Russian state. The issue is complex and some parts of the ruling coalition are more ardent than others, according to people familiar with the discussions. 

The internal tensions reflect the international community’s broader struggle to forge a common position. If Berlin can resolve its own issues, it could provide fresh momentum for discussions in the European Union and put pressure on the US to seize assets, such as central bank reserves, that have been frozen in retaliation over Russia’s invasion.

Source: Bloomberg.