EU Weighs Delay on Using Frozen Russian Assets, Eyes Six-Month Ukraine Loan

Overview

• Euronews reported that the European Commission may postpone any move to expropriate Russian sovereign assets by about six months due to objections led by Belgium.
• EU leaders will revisit the issue at the 18–19 December European Council after failing to reach agreement at the 23 October summit.
• If the reparations‑credit plan collapses in December, the bloc could opt for a smaller interim loan covering Ukraine’s urgent needs for six months or pursue joint borrowing.
• Abandoning expropriation would shift the financial burden to EU budgets through national or collective debt at a time eurozone liabilities exceed 90% of GDP.
• About €210 billion in Russian sovereign assets are frozen in the EU, mostly at Belgium’s Euroclear, and Moscow has threatened immediate retaliation if funds are seized; the EU has already transferred €14 billion to Ukraine this year from income on these assets.