"European Union's Response to Russian Asset Confiscation and Support for Ukraine"
The European Union is unlikely to confiscate the $200 billion of Russian central bank assets frozen in Europe, despite G7 plans to discuss the legality of such a move in February. EU officials are concerned about the legal risks and potential consequences for the euro currency, as well as the threat of Moscow retaliating by seizing Western assets in Russia. Instead, EU governments are likely to support a proposal to take over only the profits generated by the assets, leaving the principal untouched, which could generate an estimated 15-17 billion euros over four years to be transferred to Ukraine.