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EU officials and the Belgian government have been unable to break an impasse over a proposal to use stuck Russian assets to fund Ukraine’s reconstruction over the next two years.
A technical meeting between the Commission and the offices of Prime Minister Bart de Wever and Foreign Minister Maxime Prévost was held on Friday.
People close to the talks said there was growing concern within the Belgian government that there was no alternative proposal from the European Commission to use frozen Russian assets to fund Ukraine.
The EU is pushing ahead with plans to tap into 140 billion euros of frozen Russian assets held at Belgian financial institution Euroclear.
Legal uncertainty surrounding post-war scenario continues
But the Belgian government says the risks associated with the unprecedented operation are significant and wants legal guarantees it will not be held responsible for unintended consequences. There are also concerns about Russian retaliation.
The Belgian state believes it will be burdened with costly legal proceedings if Russia or its associates sue for assets at the end of the war.
The committee is looking at ways to keep Ukraine’s funding stable through 2026 as war-related costs rise without U.S. support, but have declined since President Donald Trump took office.
EU leaders agreed in October to amend the issue and consider alternatives before making a final decision in December. So far, this amendment has not convinced the Belgian side.
“What we hope and what was agreed at the European Council is that all possible options will be considered in detail and presented at the next council meeting,” the source told Euronews.
“All options must be on the table,” they said.
Belgium calls for collective decision-making
“It is essential for Belgium to consider all options. All possible approaches must be rigorously and transparently considered to ensure the best solution,” the official said.
“Frankly, we are still waiting for the other options that the European Commission was going to present, as agreed in the European Council,” they told Euronews in October.
Asked if the government was “frustrated” by the apparent lack of other options to consider, the official said: “We are not yet, but the clock is ticking and we remain constructive.”
The EU needs to make the best decisions “collectively”, they said.
“You can’t make the best decision unless you have all the options, both positive and negative,” the person said.
If this plan fails, options such as joint debt issuance, bilateral provisions from member states or short-term bridging loans have been formally floated. Member States privately acknowledge that there is no other type of financing as important or stable as reparation financing.
One European source said he was still hopeful that a deal could be found with Belgium, but admitted time was running out before leaders gathered in Brussels in December for the last European Council summit of the year.