Treasury Orders Disclosure of Russian Assets in U.S. Banks Under REPO Act

The Treasury Department has mandated U.S. banks to report their Russian asset holdings, aiming to seize and sell these assets to support Ukraine's war-torn economy. Under the REPO Act, banks must disclose Russian assets by August 2, 2023. The initiative is part of a broader G7 effort to leverage frozen Russian assets for Ukraine's recovery.

The Treasury Department has ordered the U.S. banking industry to disclose its holdings of Russian assets by August 2, 2023. This move, driven by the REPO Act, aims to eventually seize and sell billions of dollars in these assets to aid Ukraine's devastated economy.

Banks are required to report any Russian assets discovered after the deadline within 10 days. The initiative is a response to Russia's war in Ukraine, which has caused significant economic devastation. The World Bank estimates that Ukraine will need $486 billion for recovery and reconstruction.

Earlier in the war, the G7 froze around $300 billion worth of Russian assets, including hard currency, gold, and investments. The REPO Act now authorizes the U.S. government to seize these assets, marking a significant step towards aiding Ukraine's recovery effort.

(With inputs from agencies.)