Belgium Rejects Renewed EU Push to Fund Ukraine With Frozen Assets

Belgium has firmly rejected a renewed push by four EU countries - Sweden, Poland, the Netherlands, and Spain - to use frozen Russian assets to fund Ukraine's war efforts. "This is non-negotiable, the door is closed," Defense Minister Theo Francken declared on Flemish TV channel VRT, rejecting the idea outright.

In December, Belgian Prime Minister Bart De Wever had already shut down a proposal led by Germany and the European Commission to create a €210 billion "reparations loan" for Ukraine, fearing it would expose Belgium to potential legal repercussions from Russia. Most of the assets are currently held at Euroclear, a Belgian financial institution.

Francken expressed resentment towards the Baltic states, which are the most vocal supporters of the reparations loan, for repeatedly bringing the issue up. "They should also be careful about constantly bringing this issue up again and putting us in a corner. I don’t think that is wise," he added, pointing out that Lithuania, Latvia, and Estonia receive significant support from Belgium.

While Belgian Foreign Minister Maxime Prevert had appeared more willing to explore the use of immobilised assets, suggesting they could be used under certain conditions, the new stance from Francken seemed to be a shift towards a stricter position. The Swedish letter to the European Commission acknowledged the legal risks associated with using frozen Russian assets, stating that no single country should bear an unfair burden.

As Ukraine faces a significant funding gap of around €23.5 billion ($27.2 billion) for the upcoming winter, European foreign ministers are set to discuss the matter in Ireland next week.