Russia Asset Seizure Law Spurs Yellen Praise, Dollar Angst
- Lawmakers argue over effect on dollar, US Treasury market
- Congress passed new seizure powers as part of Ukraine aid bill
The REPO measure gives the president the option to seize assets rather than mandating the government to do so.
Photographer: Andrew Harrer/BloombergThis article is for subscribers only.
Congressional passage Tuesday of authority granting President Joe Biden new powers to seize Russian dollar assets to aid Ukraine has intensified debate over the potential consequences of foreign demand for US Treasuries and use of the dollar.
The so-called REPO provision was added to a $95 billion Ukraine, Taiwan and Israel aid package by House Republican leaders and Biden signed the measure into law Wednesday. It lets the president transfer Russian government assets to a Ukraine reconstruction fund, with some restrictions requiring coordinated action with allies and a judicial review.