Russia issues response to US seizure of frozen assets

MOSCOW/STRESA — Russia will identify US property, including securities, that could be used as compensation for losses sustained as a result of any seizure of frozen Russian assets in the United States, according to a decree signed by President Vladimir Putin on Thursday.

The decree authorizes Russia's government commission on foreign asset sales to identify the relevant property and states that decisions on compensation would be made in court.

G7 negotiators have been discussing for weeks how to best exploit some $300 billion worth of Russian financial assets, such as major currencies and government bonds, which were frozen shortly after Moscow's special military campaign.

The G7 finance ministers are gathering in Italy on Thursday for a three-day meeting on the issue.

The European Union agreed to a deal this month to seize revenues from frozen Russian assets to arm Ukraine, which will reach 2.5-3 billion euros ($2.7-$3.3 billion) a year.

Russian Foreign Ministry spokeswoman Maria Zakharova said on Thursday that the EU will feel the "full measure" of Russian retaliation over such a move.

Russia says such action is illegal and undermines the foundations of the global financial system.

On the battlefield, the Russian air defense system shot down several air targets over Belgorod, a border city with Ukraine, and its surrounding region, Vyacheslav Gladkov, the regional governor, said on his Telegram channel on Thursday.

Ukraine's top commander Oleksandr Syrskyi said on Thursday the most intensive battles in Ukraine are now taking place in the east, where Russian forces are pressing on in fronts including Kupiansk.

Agencies - Xinhua