EU leaders have just agreed to borrow €90 billion to bolster Ukraine's defense over the next two years 🎉. This move skips using the frozen €210 billion in Russian assets and taps into the EU budget instead.
The European Commission still has a mandate to explore a reparations loan based on those immobilized assets, but that plan hit a wall mainly due to resistance from Belgium, where most of the funds are held.
Antonio Costa, chairing the summit, said: "As a matter of urgency, we will provide a loan backed by the European Union budget." Initially, unanimous approval seemed unlikely, especially with Hungary's Prime Minister Viktor Orban opposed. But Hungary, Slovakia, and the Czech Republic signed off after securing guarantees that it won’t affect them financially.
Key takeaways:
- 🇪🇺 EU will borrow €90 billion for Ukraine's defense over two years
- 🔒 €210 billion in Russian assets remain frozen until reparations are paid
- 🤝 Unanimous deal after Hungary, Slovakia, and Czech Republic agreed
This decision sends a strong signal of EU solidarity and shows how clever financial tools can fast-track crucial support—kind of like crowdfunding, but on a continental scale 🌍✨.
Reference(s):
EU agrees 90-bn-euro loan for Ukraine, won't use frozen Russian assets
cgtn.com
