Strasbourg (TDI): European Commission President Ursula von der Leyen issued a firm directive on Wednesday, asserting that the European Union must reach a definitive decision regarding the financing of Ukraine during the summit scheduled for this week.
Addressing EU lawmakers, Leyen emphasized that there is no more vital act for the collective defense of Europe than supporting the defense of Ukraine. Pointing that the next few days will serve as a crucial step toward securing this goal, stating that the responsibility lies with the bloc to choose the specific method for funding Ukraine’s ongoing fight.
Leyen is advocating for a strategic plan to utilize frozen Russian central bank assets to facilitate a 90-billion-euro loan for Kyiv, intended to be distributed over the coming two years.
However, this specific initiative is encountering intense opposition from Belgium, which serves as the primary host for the majority of these frozen Russian funds. The Belgian government is concerned that implementing such a scheme could expose the country to direct Russian reprisals. To mitigate this risk, Belgium is insisting on receiving rock-solid guarantees from its fellow EU member states, ensuring that all legal and financial liabilities resulting from the move would be shared collectively.
So far, efforts to provide the Belgian government with sufficient reassurance have failed to break the current deadlock, which sets the stage for a potentially long and difficult round of negotiations at the summit.
While EU leaders technically have the nuclear option of using a weighted majority to override Belgium’s concerns and push the initiative through, most observers consider this an unlikely path for the time being.
As a potential alternative, Leyen’s executive team has proposed a fallback plan where the EU would raise the necessary funds itself to lend to Ukraine. Nevertheless, diplomats have indicated that this secondary scheme is likely a non-starter, as it necessitates unanimous approval from all 27 EU leaders, a requirement that cannot be met because Hungary has already ruled out its support.
Despite these obstacles, Leyen remains adamant that a decision must be reached, stating that “We will have to decide which way we want to take, which route we want to take but one thing is very, very clear, we have to take the decision to fund Ukraine”
Tayyaba Arif is a student of International Relations, and takes keen interest in conflict reporting and the dynamics of regional and global affairs. She is especially committed to SDG 17, and believes in effective partnerships and promoting cooperative initiatives. She can be reached at tayyabarrif0@gmail.com
