G7 vows to block Russia's assets until Ukraine war ends, reparations paid
Photo via EPA

The Group of Seven (G7) countries have pledged to block Russia's assets until the end of the war in Ukraine and Russia’s payment of reparations, its foreign ministers said in a joint statement following a meeting in Japan.

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"We are determined, consistent with our respective legal systems, that Russia’s sovereign assets in our jurisdictions will remain immobilised until there is a resolution of the conflict that addresses Russia’s violation of Ukraine’s sovereignty and territorial integrity," the statement reads.

"Any resolution to the conflict must ensure Russia pays for the damage it has caused."

The G7 foreign ministers also reiterated their commitment to intensifying sanctions against Russia, coordinating their enforcement, and countering their circumvention by third countries.

"We reiterate our call on third parties to cease assistance to Russia’s war, or face severe costs," they stressed.

Ukraine has long been calling for an estimated USD 300 billion frozen Russian assets to be confiscated and allocated for reconstruction purposes. Most Western partners are, however, reluctant to do so, citing legal obstacles relating to confiscation of private property.

Some countries, still, have adopted makeshift mechanisms allowing for confiscating some Russian sanctions-related assets as part of criminal proceedings.

In the European Union, the matter is even more complicated, and the working plan for now is to invest in frozen Russian assets and finance Ukraine reconstruction efforts by the income received.