(Reuters) -Russia's finance ministry on Thursday said the state would not take part in organising frozen asset 'exchanges', instead leaving that up to financial market players.
President Vladimir Putin on Wednesday signed a decree allowing foreign investors from "unfriendly" countries - those that imposed sanctions on Moscow - to buy securities held abroad by Russians by using funds from special "type-C" accounts in Russia, which are otherwise effectively blocked.
International sanctions against Moscow over its invasion of Ukraine have blocked many Russian investors' access to securities held in jurisdictions outside the country, while Russian countermeasures have frozen Western funds within.
"The decree ... creates legislative opportunities for conducting the "exchange" of frozen assets, the state will not take part in organising the exchange itself," the finance ministry said.
Organising exchanges was down to brokers and other securities market participants, it said.
"The mechanism will be completely voluntary for all market participants," the ministry said. "The decree refers to the use of foreign investors' funds in type-C accounts."
The decree concerns more than 80% of affected Russian investors, those with investments frozen by sanctions of up to 100,000 roubles ($1,088), Central Bank Governor Elvira Nabiullina told lawmakers on Thursday.
"We are defending the rights, first and foremost, of the mass investor," Nabiullina said.
Finance Minister Anton Siluanov previously said the decree would initially seek to unfreeze around 100 billion roubles worth of funds belonging to retail investors.
Siluanov in August said more than 3.5 million Russian citizens currently owned blocked assets amounting to 1.5 trillion roubles.
($1 = 91.9075 roubles)
(Reporting by Darya Korsunskaya and Alexander Marrow; Editing by Toby Chopra and Bernadette Baum)
