Ukraine has asked European Union countries to resume talks on using more than 200 billion euros in frozen Russian assets to help finance its defence and civilian budgets, the news outlet Politico reported. Kyiv believes that partially releasing the funds and expanding guarantees could help break a deadlock with Belgium, which vetoed the plan in December.
Vsevolod Chentsov, Ukraine's Deputy Prime Minister for European and Euro-Atlantic Integration, said the country is discussing several options with European partners to cover the shortfall in its defence and civilian budgets. He said the early disbursement of part of a 90 billion euro loan the European Union has pledged for Ukraine could help, but would not be a solution on its own.
Chentsov said Ukraine is also looking at other possibilities within the EU, including its proposal on the frozen assets, which he described as a sensible way to raise funds and cover the country's debt.
Renewed pressure on the EU
The question of using Russia's frozen assets to fund Ukraine returned to the EU agenda after the Netherlands, Poland, Spain and Sweden called last month on the European Commission to consider what they termed new options for unfreezing the money.
More than 200 billion euros belonging to Russia's central bank are frozen across the European Union, most of it held at the Belgian financial depository Euroclear. Euroclear is one of the world's largest settlement institutions for securities transactions.
Belgium's government has rejected proposals to use the funds, citing potential legal and financial risks it could face from Russian countermeasures or lawsuits. Kyiv's renewed appeal reflects growing pressure to find additional money for Ukraine, which is facing a significant budget deficit as Russia's full-scale invasion enters its fifth year.
Belgium holds firm
Chentsov said the EU and Ukraine should consider other options to secure the release of at least part of the Russian assets. He suggested that players beyond the EU might also help ease Belgium's concerns, adding that it was important to start working on the issue again and look for solutions.
Belgium, however, appears unmoved. Politico quoted a spokesperson for Belgian Foreign Minister Maxime Prevot as saying the country's position remains unchanged.
Belgian Defence Minister Theo Francken has repeated that Brussels firmly opposes using the frozen Russian assets to support Ukraine. Italian Foreign Minister Antonio Tajani, by contrast, has said Rome has no objection to using the frozen assets to support Ukraine.
