Belgian PM Warns Using Frozen Russian Assets Could Threaten Ukraine Peace Deal
Belgian Prime Minister Bart De Wever warns that rushing a plan to use frozen Russian assets to fund Ukraine could jeopardize future peace talks, while the European Commission works to address Belgium’s concerns.
The Gaze reports on it, referring to Reuters.
The prime minister noted that hastily implementing the “reparations loan” scheme could actually hinder the achievement of a future peace agreement.
“Hastily moving forward on the proposed reparations loan scheme would have, as collateral damage, that we as the EU are effectively preventing reaching an eventual peace deal,” De Wever said in a letter to European Commission President Ursula von der Leyen.
He also noted that the use of frozen assets in wartime is contrary to historical practice, as such assets have typically only been used in post-war peace agreements.
“The proposed reparations loan scheme is in my view fundamentally wrong,” De Wever said. “Such assets have been the object of decisions during after-war settlements, usually in the context of war reparations by the losing party.”
Moreover, De Wever stressed that Belgium's support is critical to the EU plan, as most of Russia's frozen assets are held by the Belgian financial institution Euroclear. He expressed concern about possible Russian retaliation and financial claims against Belgium and Euroclear. In addition to Belgian assets, around €25 billion has been frozen in banks in other EU countries, notably France and Luxembourg.
Belgium insists that other countries with frozen Russian funds, such as the US, the UK, Canada, and Japan, should also be included in the scheme.
Meanwhile, the European Commission has confirmed receipt of a letter from Belgian Prime Minister Bart De Wever regarding the use of frozen Russian assets in Belgium to finance Ukraine in 2026-2027. European Commission spokeswoman Paula Pinho said that intensive discussions are currently underway with member states, including Belgium, to take into account all concerns raised and ensure the acceptability of the solutions proposed by the Commission.
According to Pinho, the European Commission will soon present a legal justification for the possibility of using frozen assets for the benefit of Ukraine so that member states can confidently support this initiative.
The Commission's goal is to convince Belgium to support the so-called “reparation credit” for Ukraine that will be based on frozen Russian assets before the next EU leaders’ summit scheduled for December 18–19.
Earlier, the EU announed its preparation of an alternative financial lifeline for Ukraine. At a summit in late October, EU leaders hoped to approve a proposal that would channel Russia’s immobilized reserves into a €140 billion “reparations loan” for Ukraine. However, Belgium raised legal and political objections, stalling the deal at a critical moment.
One possible solution gathering support is a temporary EU-backed bridge loan designed to keep Ukraine financially stable until the reparations mechanism using Russian assets is finalized. The loan would be financed through joint EU borrowing and later repaid once the long-term arrangement is in place.
As The Gaze previously reported, the European Union is preparing a new defense assistance package worth $92.7 million, set to be financed through profits generated from frozen Russian sovereign assets.
Read the full article on The Gaze: Belgium’s Cautious Stance on Russian Assets: Legal Paths to a Reparations Loan for Ukraine Remain Open