European Union heads of state have gathered in the Belgian capital for end-of-year talks facing a key choice on the use of immobilized Russian funds to strengthen Ukraine’s defence in the war against Moscow.
“There is a simple option: it's funds today, or bloodshed tomorrow,” warned the Polish Prime Minister Donald Tusk. “This isn't just about Kyiv only, I’m talking about Europe.”
The 27-member bloc 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 four-year anniversary.
A Looming Fiscal Crisis and the Proposed Solution
European officials calculate Ukraine requires an extra €135bn ($159bn) to stay afloat during the next two years, with the cash crunch expected to begin in April. To fill this gap, the European Commission has put forward a plan to access some €210bn of Russian central bank assets seized within the bloc.
Germany's Chancellor Friedrich Merz argued the assets plan was critical to increase pressure on Vladimir Putin and send “a clear signal to Russia.”
A Split Bloc: Resistance and Legal Concerns
However, a notable group of dissenters, led by Belgium—the home of Euroclear, which holds the majority of the Russian assets—is voicing concerns about potential legal issues. Nations including Bulgaria, the Czech Republic, Italy, Malta, and Slovakia have also registered doubts.
From a procedural standpoint, this group is not enough to block the proposal if a vote gets called under qualified majority procedures. But politically, it makes the situation very awkward for everyone involved.
But there is no sign of compromise, as the only other option—relying on European Union joint borrowing—would require unanimous approval, and would almost certainly be obstructed by Hungary, which categorically rejects providing any further assistance for Kyiv.
Leaders’ Comments Before the Talks
European officials have insisted that the Brussels discussions will continue as long as it is necessary to reach an consensus, cautioning that the future of Ukraine and the EU's standing are on the line.
- Ursula von der Leyen, the European Commission president, declared she would not depart from the summit until an deal is reached.
- In contrast, Slovakia's leader Robert Fico reportedly remarked that he could be kept until the New Year, and he would not back it.
- Ukrainian leader Volodymyr Zelenskyy is set to join the summit in a final effort to persuade the critics.
Firm Resistance from Budapest
Hungary’s leader Viktor Orbán was blunt, calling the proposition of using frozen Russian funds “stupid” and equivalent to “marching into the conflict.” He expressed agreement for Belgium’s wary position.
Calls for Unity and a Solution
Several other EU heads of state stressed the critical need for a decision.
- António Costa, President of the European Council, pledged: “We will work on this today, if it’s necessary tomorrow, but we will not depart from the Council before reaching a final decision.”
- Kaja Kallas, the EU’s foreign policy chief, commented that work to address Belgium’s concerns and share the liability fairly were ongoing. She put the odds of a successful outcome at “fifty-fifty.”
- Micheál Martin, Ireland’s Taoiseach, stated his nation was “very much in favour” of the use of the frozen assets.
The stage is set for a possibly protracted and tense bargaining session in the EU capital, with the fate of substantial financial aid for a nation at war resting in the balance.
