The transfer of frozen Russian assets in Europe to Ukraine will lead to retaliatory measures from Moscow, said the head of the lobbying organization 'German-Russian Chamber of Foreign Trade'.
German companies could lose more than €100 billion previously invested in Russia if frozen Russian assets in Europe are transferred to Ukraine. This is the opinion of Matthias Schepp, chairman of the German-Russian Chamber of Foreign Trade. It is based in Moscow and lobbies for the interests of German businesses in Russia. Schepp's position was reported on Thursday, October 23, by the dpa agency.
"Germany has invested more in Russia than any other country. Therefore, it could lose the most from the planned use of the Russian Central Bank's funds for purchasing weapons for Ukraine," said Schepp. According to his estimates, German assets worth more than €100 billion are at risk.
Schepp: Moscow will respond by seizing German assets
Schepp explained that he is referring to German factories and companies in Russia, which Moscow has placed under external management and whose accounts in Russia have been frozen. For example, the German companies Uniper or Wintershall Dea.
Even if German firms sold their businesses in Russia, they were required to transfer the proceeds to blocked Russian accounts, Schepp explained. Access to them is restricted, but formally the money still belongs to German companies.
However, if the frozen Russian assets in Europe are handed over to Ukraine, Moscow will take similar measures and nationalize European, particularly German, assets in Russia, predicts Schepp. "The fact that these funds will end up in the Kremlin's treasury does not serve the interests of Germany and its taxpayers," he concluded.
