LAHORE: The combined value of frozen Iranian and Russian assets is estimated at at least $335 billion (approximately 287 billion euros), according to research based on Western media reports and official estimates from US and UK authorities.
Of this, around $234.5 billion (200 billion euros) in Russian funds is currently immobilised in the European Union, while Iran’s frozen assets are estimated to exceed $100 billion (86.5 billion euros).
Several other countries also have assets blocked in foreign banks due to sanctions linked to conflict, terrorism or nuclear compliance issues. These include Syria, Afghanistan, Iraq, Libya, Venezuela, Yemen, Lebanon, South Sudan, Congo and Mali.
Iran’s frozen assets
Reports by Euronews, Reuters and Al Jazeera indicate that asset freezes imposed by the European Union affect dozens of countries. Following the 1979 Iranian revolution and the hostage crisis at the US embassy in Tehran, the United States froze Iranian assets under Executive Order 12170, covering government deposits, gold and other holdings.
Some of these assets were partially released in 1981 under the Algiers Accords. Subsequent sanctions have continued to restrict Iran’s access to foreign exchange reserves, although limited releases have occurred at various stages. For example, under a 2014 interim nuclear agreement, Iran repatriated $4.2 billion (3.6 billion euros) in oil revenues held abroad.
Under the 2015 Joint Comprehensive Plan of Action (JCPOA), Iran regained access to more than $100 billion (86.5 billion euros) in frozen assets. Iranian funds are reported to be held in countries including South Korea, Japan, China, Germany, India and Turkey.
In September 2023, about $6 billion (5.1 billion euros) in Iranian oil revenues, previously frozen in South Korea, were transferred to restricted accounts in Qatar under a US sanctions waiver linked to a prisoner exchange. However, Reuters reported that the funds were subsequently frozen again following the October 7, 2023 attacks on Israel.
Russian assets
Russia accounts for the largest share of frozen sovereign assets, with about 200 billion euros ($234.5 billion) immobilised within the European Union following its 2022 invasion of Ukraine.
According to Al Jazeera, Western countries have frozen more than 289 billion euros ($339.3 billion) in Russian assets overall. Belgium holds the largest portion, followed by Japan, the UK, France, Canada, Luxembourg, Switzerland and the US.
European Union leaders have opted not to directly use frozen Russian assets to fund Ukraine’s defence, instead relying on financing mechanisms such as loans backed by member states.
According to the UK’s Office of Financial Sanctions Implementation, Britain has frozen assets linked to individuals and entities from 22 countries. The United States imposes similar restrictions through its sanctions regime administered by the Office of Foreign Assets Control, which has frozen assets of several governments, including Iran, North Korea, Cuba and Russia.
In June last year, US President Donald Trump issued an executive order lifting sanctions on Syria.
