ua en ru

EU seeks victory: Politico on Orbán's role in unlocking Ukraine loan

EU seeks victory: Politico on Orbán's role in unlocking Ukraine loan Photo: Hungarian Prime Minister Viktor Orbán (Getty Images)

EU leaders are looking for ways to provide Hungarian Prime Minister Viktor Orbán with an opportunity to save face ahead of elections, which would allow him to stop blocking funding for Ukraine, states Politico.

Read more: Orbán accuses Kyiv of election interference: Public message to Zelenskyy revealed

According to unnamed EU diplomats, a victory for Orbán could take the form of a promise to restore oil supplies through the Druzhba pipeline, which transports oil from Russia to Eastern Europe.

"He’ll [Orbán] have his goddamned pipeline. This Druzhba story is not credible in any way, but he has to have a victory in his campaign," said one of the diplomats familiar with the negotiations.

Orbán stated he would block the European Union's 90 billion euro loan for Ukraine, which is crucial for the warring country, as well as the 20th package of anti-Russian EU sanctions, unless oil via Druzhba starts flowing to Hungary and Slovakia again.

The EU finds itself in a difficult position due to the approaching money shortage in Ukraine and fears that Orbán might use the legal standoff during his election campaign. Politico notes that Ukraine could run out of money by April — the same month Hungarians go to the polls.

Orbán's threats have outraged the European Union, and European Council President Antonio Costa warned that the Hungarian leader violated the principle of 'sincere cooperation.' The publication noted that this hinted at potential legal consequences, which could take the form of the so-called Article 7 procedure to strip Budapest of its voting rights in the European Union.

However, four diplomats and a senior EU official, speaking on condition of anonymity, rejected the idea of a legal solution to the problem of Hungary's delay. Instead, they argued that leaders should focus on pressuring and persuading Budapest to drop its veto.

"There isn’t time for the legal option. There will have to be a political solution," said one diplomat, referring to the possibility of filing a lawsuit against Budapest for blocking funds for Ukraine.

Two of the diplomats stated that a more feasible way to solve the problem is to develop a document containing a promise to restore Russian oil supplies through the Druzhba pipeline.

Sources told the publication that legal steps to strip Hungary of its voting rights were not among the measures discussed at a meeting of ambassadors in Brussels this week. Instead, some diplomats called for the EU delegation in Ukraine to be able to visit and inspect the pipeline to refute Orbán's claims that it is not actually damaged.

"But the visit depends on the Ukrainian authorities making this possible, as it is a highly protected site," said an EU representative familiar with the negotiations, adding that discussions are underway with the Ukrainian authorities regarding such a visit.

Orbán scandal

Oil supplies to Hungary and Slovakia through the Druzhba pipeline have been suspended since January 27. Ukraine attributes this to damage to equipment from a Russian strike. In turn, Budapest and Bratislava hold Ukraine responsible.

Due to this dispute, the government of Hungarian Prime Minister Viktor Orbán has already vetoed new sanctions against the Russian Federation. Hungary has also blocked the provision of a 90 billion euro European Union loan to Ukraine. This refers to funding that was planned to be raised through joint debt under EU budget guarantees.

Unanimous support from all 27 member states is required to adopt such a decision, so Budapest's position has effectively halted the process. Subsequently, Hungarian Foreign Minister Peter Szijjarto stated that his country would block the credit until Ukraine restores Russian oil transit through the Druzhba pipeline.

Ukraine has proposed several realistic solutions to settle the oil dispute with Hungary and called on Budapest not to use this issue in domestic politics. It was also reported that on April 15, the European Commission will present a legal proposal for a permanent ban on Russian oil imports. This will happen three days after the parliamentary elections in Hungary.

Today, February 26, Orbán sent an "open letter" to Ukrainian President Volodymyr Zelenskyy, accusing Kyiv of influencing the upcoming elections.