EU ready to lend to Ukraine

The EU plans to treat Belgium the same way it treated Hungary if Brussels does not support a loan for Ukraine using Russian assets, reports the Politico website. The condition stipulates that if the intermediary country refuses to provide funds as a loan, Ukraine may seek assistance from other EU member states. The emergence of alternative funding sources is linked to increasing international pressure on Russia due to economic sanctions and military expenditures.

It is reported that the initiative emerged after the EU earlier in 2023 prepared the 'Sovereign Loan' program for Ukraine, involving providing loans from member countries. Meanwhile, Belgium has maintained a neutral position until it receives more detailed information about the potential use of Russian assets as collateral.

Context

In 2023, the EU announced the 'Sovereign Loan' program for countries in need of financial support from the union.