EU leaders have gathered in Brussels for end-of-year discussions facing a key choice on using frozen Russian Federation funds to boost the Ukrainian defense in the war against Russia.
“We have a clear option: it's money today, or else blood in the future,” warned the Polish leader Donald Tusk. “I’m not talking about Ukraine only, I’m talking about Europe.”
The 27-nation bloc is scrambling to strengthen Kyiv’s hand while ex-American leader Donald Trump advocates for a quick settlement to end the fighting as the war continues towards the fourth mark.
A Looming Fiscal Crisis and the Proposed Plan
European officials calculate the nation needs an additional €135bn ($159bn) to stay afloat during the 2026 and 2027, with the cash crunch expected to begin in the spring. To fill this gap, the European Commission has proposed a plan to access approximately €210bn of Moscow's state assets seized in the bloc.
German leader Friedrich Merz said the assets plan was critical to ramp up the pressure on Vladimir Putin and send “a strong signal to the Kremlin.”
A Divided Union: Resistance and Legal Doubts
However, a notable opposition bloc, spearheaded by Belgium—where the headquarters of the clearing house Euroclear, which custodies the majority of the Russian assets—has been raising concerns about potential legal issues. Nations including Bulgaria, the Czech Republic, Italy, Malta, and Slovakia have also expressed reservations.
From a procedural standpoint, this group may not be sufficient to block the plan should a vote be held under qualified majority rules. Yet politically, it makes the situation very awkward for everyone concerned.
There remains little indication of compromise, as the only other option—relying on EU debt—would need unanimous approval, and would almost certainly be blocked by Hungary, which categorically rejects any additional help for Kyiv.
Leaders’ Comments Ahead of the Talks
European officials have stated emphatically that the summit discussions will continue for however long it is necessary to reach an consensus, warning that the future of Ukraine and the EU's standing are at stake.
- Ursula von der Leyen, the head of the EU executive, said she would not depart from the meeting before an agreement is reached.
- In contrast, Slovakia's Prime Minister Robert Fico allegedly joked that he could be kept until the new year, and he would not back it.
- Ukraine's President Volodymyr Zelenskyy is scheduled to join the meeting in a last-ditch attempt to convince the critics.
Firm Resistance from Budapest
The Hungarian Prime Minister Viktor Orbán was blunt, calling the proposition of using seized assets “stupid” and equivalent to “entering the conflict.” He expressed agreement for Belgium’s cautious stance.
Appeals for Consensus and a Resolution
Several other EU heads of state emphasized the critical need for a decision.
- António Costa, President of the European Council, vowed: “We will work on this today, if it’s necessary tomorrow, but we will not depart from the Council before reaching a conclusive agreement.”
- Kaja Kallas, the EU’s foreign policy chief, commented that work to address Belgian concerns and distribute the risk fairly were continuing. She estimated the chances of a successful outcome at “50/50.”
- Micheál Martin, Ireland’s Taoiseach, said his country was “strongly in favour” of using the frozen funds.
The scene is prepared for a possibly long and strained bargaining session in the EU capital, with the future of significant monetary aid for Ukraine resting in the balance.
