Overview
- Tokyo told G7 counterparts it will not use roughly $30 billion in Russian reserves it holds for a Ukraine loan, and U.S. officials also declined to join the EU scheme, according to EU diplomats.
- Belgium remains the key holdout over liability fears, with Prime Minister Bart De Wever demanding EU‑wide and G7 risk‑sharing before backing the proposal tied to assets largely parked at Euroclear in Brussels.
- Euroclear CEO Valérie Urbain warned the plan is legally doubtful under sovereign immunity, poses financial‑stability risks, and said the depository is ready to challenge it in court.
- European Commission documents show national backstops would be allocated by economic size, with Germany potentially covering about €51–52 billion, France €34 billion and Italy €25.1 billion.
- Seven EU leaders urged rapid approval of the reparations loan as the Commission defended its legal footing, while Ukraine faces a €71.7 billion 2026 budget shortfall and President Volodymyr Zelenskyy voiced confidence the funds will be unlocked.