Financial sanctions need global governance

Using Russia’s own assets to fund the Ukrainian war effort can only be possible with internationally agreed parameters and clear governance

The Dnipro hydroelectric power plant after Russian attacks in Ukraine last month. The US wants to confiscate Russia’s assets and transfer them to Ukraine. Its argument is straightforward: Russia should be made to compensate Ukraine for its illegal and highly destructive war. Photo: Telegram Channel of Ukraine's Prime Minister Denys Shmyhal via AP

As Russia’s war against Ukraine has entered its third year, Western governments are finding it increasingly difficult to muster the funding Ukraine needs to defend itself. 

The European Union struggled to reach a €50bn aid deal in February, and the United States remains deadlocked over its own $60 billion funding package. Now, calls to use Russia’s own assets to fund the Ukrainian war effort are growing louder.