European Commission President Ursula von der Leyen sent a letter to EU heads of government outlining possible mechanisms to mitigate risks associated with the use of frozen Russian assets, amid concerns expressed by Belgium, DPA reported, BTA reports.
In the document, Von der Leyen also describes options for filling the gap of over 100 billion euros in the Ukrainian budget if member states do not reach an agreement on the use of Russian funds from the central bank's reserves. Among the solutions mentioned are additional contributions from national budgets, general EU loans or a combination of the two - options that the Commission believes would be significantly more expensive.
Belgium is insisting on a detailed analysis of all financing options for Ukraine before continuing negotiations, as the bulk of the blocked Russian assets are held in Brussels-based “Euroclear“. Belgian authorities fear potential consequences for European companies that continue to operate in Russia.
Von der Leyen also presented an estimate of the possible use of Russian funds held in commercial banks in other member states, with the hypothetical amount estimated at around 25 billion euros.
According to the European Commission, the EU must provide Ukraine with at least 135.7 billion euros by the end of 2027. The forecast is made on the assumption that the war could end next year, which would allow a reduction in military aid from 51.6 billion euros in 2026 to 31.8 billion euros in 2027. Budget support for Kiev is expected to reach 20.1 billion euros in 2026 and 32.2 billion euros in 2027.