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EU heads of state are convening in the Belgian capital for end-of-year talks facing a pivotal decision on the use of frozen Russian assets to strengthen Ukraine’s defense in the war against Russia.

“We have a clear choice: it's funds now, or blood in the future,” stated Poland’s leader Donald Tusk. “I’m not talking about Kyiv only, this concerns Europe.”

The 27-member union is working urgently to strengthen Kyiv’s hand while former U.S. President Donald Trump advocates for a quick deal to halt the fighting as the war drags towards the fourth anniversary.

A Looming Fiscal Crunch and the Proposed Plan

The EU estimates Ukraine requires an extra €135bn ($159bn) to stay afloat over the next two years, with the funding shortfall expected to begin in the spring. To plug this hole, the European Commission has put forward a scheme to access approximately €210bn of Moscow's state reserves frozen within the European Union.

Germany's leader Friedrich Merz argued the proposal was essential to increase pressure on Vladimir Putin and send “a clear signal to the Kremlin.”

A Split Bloc: Opposition and Legal Doubts

However, a significant opposition bloc, spearheaded by Belgium—where the headquarters of the clearing house Euroclear, which custodies the majority of the Russian assets—is raising concerns about possible juridical challenges. Nations including Bulgaria, the Czech Republic, Italy, Malta, and Slovakia have also expressed reservations.

From a procedural standpoint, this group is not sufficient to block the proposal should a vote be held under qualified majority voting rules. Yet politically, it makes the process very awkward for all parties involved.

But there is no sign of a middle ground, as the alternative option—focusing on EU joint borrowing—would require unanimous approval, and would almost certainly be obstructed by Hungary, which categorically rejects any further assistance for Ukraine.

Officials' Comments Before the Negotiations

European leaders have insisted that the summit talks will last for however long it is necessary to achieve an consensus, cautioning that the future of Ukraine and the EU's standing are on the line.

• Ursula von der Leyen, the head of the EU executive, declared she won’t leave the summit until an agreement is concluded.
• In contrast, Slovak leader Robert Fico allegedly remarked that they can keep him there until the new year, and he would not back it.
• Ukrainian President Volodymyr Zelenskyy is set to join the meeting in a final attempt to persuade the critics.

Strong Opposition from Budapest

The Hungarian leader Viktor Orbán was uncompromising, labeling the proposition of utilizing frozen assets “foolish” and equivalent to “marching into the war.” He expressed agreement for Belgium’s wary position.

Appeals for Unity and a Resolution

Several other EU heads of state emphasized the critical need for a resolution.

• António Costa, European Council president, vowed: “We will work on this today, and if needed tomorrow, but we will not depart from the Council without a conclusive agreement.”
• Kaja Kallas, the EU’s top diplomat, commented that work to allay Belgium’s worries and share the liability equally were ongoing. She put the chances of a successful outcome at “50/50.”
• Micheál Martin, Ireland’s Taoiseach, said his nation was “strongly in favour” of using the immobilised funds.

The scene is prepared for a potentially long and tense bargaining session in the EU capital, with the future of significant monetary support for a nation at war hanging in the balance.