Two-year deal will cover most of Ukraine’s needs, but will be secured against EU borrowing rather than Russian assets
European Union leaders have decided to provide a massive interest-free loan to Ukraine to meet its military and economic needs for the next two years, after failing to agree on using frozen Russian assets, diplomats said in the early hours of Friday.
“We have a deal. Decision to provide €90bn ($106bn) of support to Ukraine for 2026-27 approved. We committed, we delivered,” EU Council president Antonio Costa said in a post on social media.
With public finances across the EU already strained by high debt levels, the European Commission had proposed using frozen Russian central bank assets to secure a huge loan to Kyiv, with joint borrowing against the EU budget as a second option.
wtf are they afraid of? what protections does the Neo-imperialist, invading, war criminal state have?
Afraid of loosing posturing, like the US did when they used their economic advantage to do just that. People, even the good guys, don’t like knowing that they don’t have total control over their wealth… and by using the bad guy’s money, even in justified matters, it sends a message to everyone in the broadest of daylight: “we control the money.”
If your advantage comes from other countries being willing to invest in your currencies, then trust becomes a huge part of that advantage. People care about money, not ethics, when they’re concerned about where to store their billions.
It’s a shame (and maybe shameful) they couldn’t use the frozen assets. I found this from an article in the Sydney Morning Herald, but didn’t want overpost the story.
“Some €210 billion of Russian assets are frozen in Europe, most of them in the Belgian financial clearing house Euroclear. Belgium had objected to the loan plan, calling it legally risky and warning that it could harm Euroclear’s business.”
Think it’s important to see what influence banks have on highly political decisions.
Link to Sydney Herald article, similiar reporting.
Oh they could have used them. They chose not to.
Definitely shameful, I was hoping to see Europe develope a spine in the wake of the US losing theirs. That was wishful thinking.
They chose not to.
Not really, Belgium wouldn’t budge, there was a clear majority in favor of using the frozen assets. This is mainly on Belgium.
Exactly. Either Belgium does not realise we are already at war or Putin has his fingers stretched deeply across the European mainland.
That’s a choice. And it’s Belgium, the rest of Europe could have pressured them into doing the right thing but they’re not that serious about Russia so they didn’t.
if they weren’t serious, there wouldn’t be a deal.
they, the EU, are/is serious.
the Belgians are just being greedy little cunts.
…so business as usual ¯\_(ツ)_/¯
if they weren’t serious, there wouldn’t be a deal.
Yeah I guess they wouldn’t be working on the 20th sanctions package if they weren’t serious /s
These cute little deals and sanctions packages are rolled out periodically to make it look like they’re doing something substantial to counter Russia.
In reality they’re easy political wins that don’t make many waves, in Russia or with EU voters.
The proof is in the outcome, 4 years on since the full invasion and Putin is as emboldened as ever. Maybe we just need to wait for the 21st sanctions package to hit, maybe then he’ll rethink things.
I’m somewhat disappointed that they could not find a way to use the agressor’s own assets.
Perhaps it’s true that laws would have to be changed and some treaties (with Russia) should be exited from. I hope this provides the incentive to change them and do that.
I think it should be a feature of international law: if one tries to conquer a country, one should be prepared to have assets confiscated and given to the target of agression to help them defend against it.
We’re coming up on the 4 year anniversary of the invasion. If Europe wanted to use these assets they would have done so already. The willingness just isn’t there.
I’ve been wondering if Ukraine can’t sue Russia in the ICJ for the damage Russia has caused to Ukraine, and claim these frozen assets as part of that.
