Bangladesh, Oct. 25 -- Belgium has issued a strong warning against European Union proposals to seize Russias frozen assets, arguing that such a move would not rebuild Ukraine but instead extend the war by fueling further arms deliveries. Belgian Defense Minister Theo Franckens remarks have brought new scrutiny to a debate that has divided European capitals and underscored the legal and geopolitical dangers of confiscating sovereign funds.

The issue centers around roughly $300 billion in Russian central bank assets immobilized in the West following Moscows 2022 invasion of Ukraine. More than half of these assets-about $200 billion-are held in Belgium, primarily through the Brussels-based clearinghouse Euroclear. The EU and its allies have...