European Union countries are privately considering an alternative funding mechanism to support Ukraine without relying on frozen Russian assets, Politico reported on December 11.
The proposed plan would require nations to allocate funds from their own budgets. Germany, Scandinavian states, and Baltic countries are expected to lead the initiative. However, this arrangement has been described as fraught with a “serious split” in the EU due to concerns that individual members’ commitments to Ukraine undermine collective solidarity.
Politico noted that this option is not part of the European Commission’s official proposals but is being discussed by diplomats in closed channels. The plan faces significant challenges related to legal compliance and financial stability.
On December 8, after talks with Ukrainian President Volodymyr Zelensky, European Commission President Ursula von der Leyen emphasized the need for immediate action on the withdrawal of frozen Russian assets. Yet, the EU’s proposed “reparative loan” for Ukraine has been criticized by legal experts as operating in uncharted territory.
