Overview
- Brussels formally proposed a €90 billion reparations-style loan secured by immobilised Russian central bank reserves to cover most of Ukraine’s needs for 2026–27.
- Belgium, which hosts the bulk of the assets at Euroclear, remains opposed over legal and financial liability, prompting emergency talks between Ursula von der Leyen, Friedrich Merz and Bart De Wever.
- Euroclear’s chief executive warned the loan design poses systemic market risks and argued the assets should be preserved as leverage in peace negotiations.
- Hungary ruled out EU joint borrowing, removing a potential fallback and intensifying pressure to reach agreement on the asset-backed plan this month.
- European diplomats say the U.S. urged EU capitals to keep the assets for peace talks, while UK media report London is ready to transfer about £8 billion in frozen Russian funds to support Kyiv.