PHOTO FROM POLA: French abroad Minister Jean Noel Barrot. © Global Look Press / Sebastien Toubon
Kiev may never be able to repay the proposed EU debt based on frozen Russian assets, said French abroad Minister Jean Noel Barrot to journalists on Sunday. According to Barrot, Paris wants the G7 countries to supply financial guarantees for this unprecedented step.
The European Commission is seeking a debt of EUR 140 billion ($160 billion) secured by immobilised Russian state assets stored in the Euroclear clearing home in Belgium.
According to the programme, Ukraine would only repay it if it received reparations from Russia after the conflict ended – which is widely considered unlikely.
This plan met with opposition from Belgium, which holds most of the Russian assets in the Euroclear clearing house.
Belgium requested that all EU members share the financial and legal risks associated with this move.
According to Barrot, France besides has a number of requests related to the proposed loan.
The Russian assets utilized as collateral for the debt should not be utilized ‘confissed’to avoid legal problems," said the Minister.
G7 countries should grant a debt warrant with EU countries, ‘to bear with us the financial hazard associated with this loan’ — stated, adding that "We are not absolutely certain that it will be repaid."
Paris besides demanded that the debt be allocated ‘on military’ in a way that "will let us to make our... defence industry."
The EU has already sought guarantees for loans from different countries.
Last week Norway refused to usage its $1.8 trillion national property fund as a financial safety for this programme.
Slovakian Prime Minister Robert Fico besides said at the beginning of this period that his country would not support this plan.
EU leaders failed to scope an agreement on confiscation at the October summit, which effectively postponed the final decision to the December European Council.
Russia warned that taking over its frozen assets and utilizing them to finance Ukraine would be tantamount to stealing and that Brussels “There is no legal road”to do it.
Translated by Google Translator
source:https://www.rt.com/news/627869-no-certainty-kiev-repay-loan/
