EU's Freeze on Russian Assets Sparks Diplomatic Tensions

The European Union's decision to indefinitely freeze Russian sovereign assets is viewed by Moscow as an attack on peace efforts in the Ukraine conflict. In response, Russia plans retaliation, including legal action against Euroclear, which holds significant Russian assets. Diplomatic tensions are rising amid claims of economic damage.

On Saturday, Russia condemned the European Union's decision to indefinitely freeze Russian sovereign assets, calling it a targeted move against peace initiatives aimed at resolving the Ukraine conflict. Moscow is preparing to take retaliatory steps against the EU's actions.

Friday saw the EU Council's decision to temporarily prohibit the transfer of assets from the Central Bank of Russia back to Moscow. The move is described as urgent, intended to mitigate potential economic damage to the EU, while Russian officials claim it undermines peace efforts.

Maria Zakharova, spokeswoman for the Russian Foreign Ministry, accused Brussels of obscuring the eventual economic impact on EU citizens. In anticipation of further developments, the Bank of Russia has launched a lawsuit against Euroclear for liabilities. The Kremlin has also promised severe reprisals, including seizing Western assets within Russia.

(With inputs from agencies.)