EU leaders have gathered in Brussels for end-of-year talks with a pivotal decision on the use of immobilized Russian Federation funds to boost the Ukrainian defence against Russia.
“There is a clear option: it's funds now, or else blood in the future,” warned Poland’s Prime Minister Donald Tusk. “I’m not talking about Kyiv alone, I’m talking about the entire continent.”
The 27-member union is scrambling to fortify Ukraine's position while former U.S. President Donald Trump pushes for a quick deal to end the fighting as the invasion drags towards the fourth mark.
The Financial Crisis and the Controversial Solution
The EU estimates Ukraine requires an additional €135bn ($159bn) to stay afloat during the next two years, with the funding shortfall set to start in April. To fill this hole, the EU's executive arm has proposed a scheme to tap some €210bn of Moscow's state assets seized in the bloc.
Germany's Chancellor Friedrich Merz said the proposal was essential to ramp up the pressure on Vladimir Putin and send “a strong signal to the Kremlin.”
A Divided Bloc: Resistance and Legal Doubts
However, a notable group of dissenters, led by Belgium—the home of Euroclear, which holds most the Russian assets—has been raising questions about possible legal issues. Nations including Bulgaria, the Czech Republic, Italy, Malta, and Slovakia have also expressed doubts.
From a procedural standpoint, this coalition may not be sufficient to veto the plan if a vote gets called under qualified majority procedures. But in practical political terms, it makes the situation extremely difficult for all parties involved.
There remains no sign of compromise, as the only other option—relying on EU joint borrowing—would need unanimity, and would likely be obstructed by Hungary, which categorically rejects providing any additional help for Kyiv.
Officials' Statements Ahead of the Talks
EU leaders have stated emphatically that the Brussels talks will continue as long as it takes to achieve an consensus, warning that the future of Ukraine and the EU's standing are on the line.
- Ursula von der Leyen, the head of the EU executive, said she would not depart from the summit until an deal is reached.
- In a stark contrast, Slovak Prime Minister Robert Fico allegedly remarked that he could be kept until the new year, and he still wouldn’t support it.
- Ukrainian leader Volodymyr Zelenskyy is scheduled to participate in the meeting in a last-ditch attempt to convince the skeptical nations.
Strong Opposition from Hungary
Hungary’s leader Viktor Orbán was uncompromising, calling the proposition of using seized Russian funds “stupid” and equivalent to “entering the conflict.” He voiced support for the Belgian cautious stance.
Calls for Unity and a Solution
Other EU heads of state emphasized the urgency for a resolution.
- António Costa, European Council president, pledged: “Negotiations will continue on the issue today, and if needed tomorrow, but we will never leave the Council before reaching a final decision.”
- Kaja Kallas, the EU’s foreign policy chief, noted that work to allay Belgian worries and share the risk equally were continuing. She estimated the odds of a successful outcome at “fifty-fifty.”
- Micheál Martin, Ireland’s leader, stated his country was “strongly in favour” of using the immobilised funds.
The scene is prepared for a potentially long and strained negotiation in the EU capital, with the fate of significant monetary aid for Ukraine resting in the balance.
