The Guardian: Moscow intimidates Belgian leaders to stop use of frozen funds for Kyiv

Belgian politicians and senior financial executives have been subjected to a sustained campaign of intimidation linked to Russian intelligence services, as Moscow seeks to prevent the use of its frozen assets to support Ukraine.

European intelligence agencies believe the operation is aimed at persuading Belgium to block a proposed EU loan for Kyiv that would be secured by Russian central bank funds.

Security officials told The Guardian that individuals connected to Euroclear, the Brussels-based financial services group holding the bulk of Russia’s immobilised assets in Europe, were deliberately targeted. Of the €210bn in Russian central bank assets frozen by the European Union since the start of Moscow’s full-scale invasion of Ukraine, around €185bn is held at Euroclear, making Belgium a focal point in the debate.

EU leaders meeting in Brussels are currently discussing whether to approve an initial €90bn loan for Ukraine, backed by the frozen Russian funds. The financing is seen as crucial to sustaining Ukraine’s war effort through 2026 and 2027. Intelligence officials believe Russia’s GRU military intelligence agency is responsible for the intimidation campaign, although assessments differ on the severity of the threat. One European official said Moscow had “for sure” engaged in intimidation tactics.

Belgium has expressed legal concerns over the proposal, insisting it will only agree if guarantees are provided that Euroclear would be fully reimbursed should Russia succeed in legal challenges. Moscow has publicly warned that using the assets would amount to theft, and Russia’s central bank has launched a lawsuit seeking $230bn in damages from Euroclear.

The Guardian reports that threats have been directed at Euroclear’s chief executive, Valérie Urbain, and other senior executives. While Euroclear declined to comment on specific threats, it said any potential risks were treated with the highest priority. Investigations by EUobserver and reporting by Le Monde have indicated that Urbain has been accompanied by bodyguards for more than a year.

The issue has also reached the highest political levels. Belgium’s prime minister, Bart De Wever, has publicly warned of lasting consequences if Russian assets are confiscated, citing possible retaliatory measures by Moscow. His office has declined to comment on reported threats for security reasons.

The UK, which supports using frozen Russian funds for Ukraine and holds an estimated €27bn in such assets, has urged collective action to reduce legal risks. Ukrainian officials stress that the EU loan is vital.

Nataliia Shapoval of the KSE Institute told The Guardian that without new financing, Ukraine would face serious defence and budgetary challenges from the second quarter of next year onward, making the proposed funding “absolutely critical.”

By Tamilla Hasanova