Luxembourg faces criticism over delisting of Russian oligarch Mikhail Fridman

Luxembourg is facing criticism from lawmakers and analysts following its decision to support the delisting of Russian oligarch Mikhail Fridman from the European Union sanctions list. The move has raised concerns regarding the potential erosion of EU unity in its stance against Moscow.

Prime Minister Luc Frieden defended the decision in parliament, citing a massive arbitration claim filed by Fridman against Luxembourg. The oligarch is seeking approximately €16 billion (or $1.6 billion, according to some reports) in compensation following the freezing of his assets. Frieden suggested that delisting might resolve the legal dispute, though lawmakers have dismissed this reasoning as flawed, noting that the legal team has not withdrawn the claim.

Critics, including members of the Social Democrats and the Green Party, warned that the decision could backfire in arbitration by implying the government exerted influence over the sanctions process. While the European Commission pointed to a ‘no-claims clause’ as a safeguard for member states, Frieden expressed concern that Luxembourg might face the financial burden of such liabilities without sufficient EU solidarity.