Costa seeks to reassure Merz after EU budget ultimatum
António Costa has replied to Friedrich Merz's controversial letter linking a deal on the EU budget to a deal on Ukraine aid. Four countries have already pushed back against the German chancellor's ultimatum.
European Council President António Costa has reached out to German Chancellor Friedrich Merz to calm his concerns after Merz sent a letter placing an ultimatum on the EU budget and Ukraine funding. Costa assured Merz that discussions on these two pressing issues would take place at the end of the month during a special summit in Brussels, following the European Commission's proposal to address Ukraine's financial shortfall.
Costa emphasized that the conversation would be broadened during an informal European Council in Dublin, giving Merz the opportunity to voice his concerns. The EU has pledged to cover two-thirds of Ukraine's €70 billion deficit, approximately €45 billion, through an instrument yet to be defined. Merz urged Costa for a commitment to provide additional aid for Ukraine as a crucial prerequisite for approving the next EU budget.
This decision would entail burden sharing for supporting Ukraine, highlighting the indivisible nature of European security. Slovakia, Czech Republic, Hungary, and Bulgaria have already objected to Merz's ultimatum, with Slovak Prime Minister Robert Fico describing it as "blackmail". These four nations intend to exclude themselves from any future loan to Ukraine.
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