The EU summit, which will also consider providing aid to Ukraine, including through frozen Russian assets, is among the main topics of the European press this morning.
Foreign ministers sought a last-minute compromise to save a deal to provide vital financial aid to Ukraine ahead of a key summit of EU leaders today, writes the European edition of „Politico“.
Until last night, EU leaders were divided into irreconcilable camps, at least in public, and it seemed unlikely that they would agree on how to finance Kiev.
Just hours before the heads of state of the 27 members to meet in Brussels, the two opposing groups crossed swords over the issue of lending Ukraine from the Russian Central Bank's frozen reserves, most of which are held at the Belgian central securities depository “Euroclear“, the publication notes.
Germany, along with northern and eastern European countries, said there was no alternative plan, but faced stiff resistance from Belgium and Italy, which insisted on a “Plan B“ - support for Kiev based on a European loan guaranteed by the bloc's general budget. Bulgaria, Malta, Hungary and Slovakia also spoke out against the use of Russian assets.
Just a few steps from the shopping boulevards and the bustling center of Brussels, in an unassuming skyscraper, is the financial institution that holds the key to a treasury that could unlock one of the most significant decisions that the European Union has taken in a long time, writes the Spanish newspaper “Pais“.
“Euroclear“ - the little-known Belgian clearing institution, is now under the spotlight. It stores 193 billion euros of Russian assets, a large part of which are owned by the Central Bank of Russia. They have been frozen since 2022 due to sanctions imposed on the Kremlin after the invasion of Ukraine.
The EU is now discussing whether to release over 92 billion euros of them as a “reparation loan“ for Ukraine, which would help the country.
If such a decision is approved at today's meeting, it would represent a significant change in European sanctions policy against Russia. With this initiative, Europe's prestige is at stake, notes “Pais“. "Let's not be mistaken. If we fail, the EU's ability to act will be seriously damaged for years to come or even longer," German Chancellor Friedrich Merz said on Monday.
„Euroclear“, which holds 42.5 trillion euros in deposits, has so far remained silent. Its head Valerie Urben said in an interview with „Le Monde“ a month ago that she did not rule out the institution taking legal action against the EU if a legal framework for unfreezing Russian assets is adopted, which would lead to their confiscation.
V. „Figaro“ writes this morning that while the disputes in the EU are ongoing, France is showing reluctance to use frozen Russian funds on its territory.
Paris has remained surprisingly discreet about the size of Russian funds held in French banks.
“For two years, Paris has refused to disclose the amount frozen in France or the legal status of the interest generated by these assets“, Brad Setser, a researcher at the influential American think tank “Council on Foreign Relations“, told “Figaro“.
Meanwhile, Belgian politicians and senior financial executives have been the target of intimidation during a campaign led by Russian intelligence services to convince the country to block the use of Russian assets, European intelligence services reported, quoted by the British newspaper “Guardian“.
According to security officials, key figures from “Euroclear“ were among them. Threats were made against the executive director Valerie Urbain and other senior officials of the institution, it specifies „Guardian“.
„Euroclear“ declined to comment, saying that „any potential threats are treated with the highest priority and are investigated thoroughly, often with the support of the authorities when necessary“.
Russia has already openly warned that using the assets would constitute theft, and the Russian Central Bank has said it will seek compensation from „Euroclear“ in the amount of $230 billion.
There are no signs of appeasement from Russian President Vladimir Putin, who is furious at the idea that Europeans can now overcome their differences over providing huge support to Kiev with Russian frozen assets, notes the newspaper „Monde“.
The United States, for its part, is irritated by Europe's attitude, which it says talks too much and doesn't do enough, while the White House wants to speed things up. The American president wants peace before the midterm elections in November 2026. He could lose his majority in Congress in those elections and is starting to get nervous, the French publication notes.