EU leaders delay decision on reparations loan for Ukraine – Bloomberg
Photo: The EU Council has postponed decision on the use of frozen Russian assets until December (Getty Images)
The European Union has postponed until December its decision on using frozen Russian assets to provide aid to Ukraine, Bloomberg reports.
The delay came after Belgium demanded stronger guarantees to ensure it would not bear liability for risks associated with €140 billion in loans.
According to sources familiar with the matter, EU leaders asked the European Commission to prepare alternative options for discussion at the next summit.
The goal, they said, is to reach a final agreement by the end of the year.
Frozen Russian assets for Ukraine
Earlier today, October 23, the European Council met in Brussels to discuss using the frozen assets of Russia to provide long-term financial support for Ukraine.
At the beginning of the discussion on Ukraine, the participants listened to Ukrainian President Volodymyr Zelenskyy.
According to IMF estimates, the total amount of frozen Russian assets in 2024–2025 is expected to exceed $300–350 billion.
Recently, President Zelenskyy urged European leaders to use frozen Russian funds for Ukraine's reconstruction.
One proposed mechanism involves the EU using the assets as a reparations loan for Ukraine — a plan under which the loan would be repaid only after Ukraine receives compensation from Russia.
On October 1, the Group of Seven (G7) held a virtual summit to discuss how frozen Russian assets could be used for Ukraine.
