The United States has informed its European partners that it will not join the G7 initiative to use frozen Russian assets at this time, according to a report by Bloomberg.
Citing sources familiar with the discussions, Bloomberg reported that US officials conveyed this position during informal talks held on the sidelines of last week’s International Monetary Fund (IMF) meetings in Washington, D.C.
“American officials told their European counterparts that, for now, the US will not participate in the initiative,” Bloomberg reported on Monday, quoting sources who requested anonymity due to the sensitivity of the talks.
Financial Stability Concerns Behind US Hesitation
One source said that Washington’s hesitation stems from concerns about financial market stability. Another noted that, at this stage, the US is simply not committing to any form of participation.
The report also highlights that there are divergent views within the G7 on how to handle the matter.
Divisions Within the G7
While the United Kingdom and Canada have expressed support for the European initiative to use frozen Russian assets, Japan has sided with the United States, adopting a more cautious approach.
Earlier reports indicated that the European Commission is examining the possibility of deploying around €170 billion in frozen Russian assets, currently held by Euroclear in Brussels.
According to preliminary plans, €140 billion of that amount could be allocated to a “reparations credit” for Ukraine.
Upcoming EU Summit to Address the Issue
The issue is expected to be a key topic at the upcoming European Union summit on October 23–24, where leaders will discuss how to finance Ukraine’s reconstruction amid the ongoing war.
The US decision not to join the G7 plan at this stage could slow international efforts to secure funds for Ukraine’s recovery, raising questions about global coordination in responding to Russia’s continued aggression.
