Buy low, sell high
Transferring the assets into a new fund would also allow them to be placed in riskier investments capable of generating higher returns for Ukraine.
That would be a change from the current rulebook, which compels Euroclear to invest the assets with the Belgian central bank, which offers the lowest risk-free rate of return available.
Skeptics, including Euroclear CEO Valérie Urbain, worry, however, that EU taxpayers would have to bear the brunt of any losses resulting from the riskier operations.
To share the legal and financial burden, Belgium wants other EU countries to assume liability for the assets under the Commission’s proposed plan.
“Belgium is not alone here. We need to support and be taking part in mitigating that risk,” said Veski.
“It’s not a question of letting Belgium deal with it [while] we watch from the sideline.”
The Belgian government has recently warmed to the Commission’s plan, said an EU official and a senior non-Belgian diplomat, while countries farther away from Russia, such as Spain, are also backing the idea.
Jacopo Barigazzi contributed reporting.
