EU fumbles Ukraine funding as Trump tightens screw on Russia

The European Union stumbled in its efforts to secure funding for Ukraine, as internal disagreements over the use of frozen Russian assets left leaders scrambling, even as US President Donald Trump took decisive action against Moscow.

EU officials and diplomats are privately questioning whether anyone attending this week’s EU leaders’ summit in Brussels made the short two-minute drive from the Europa building, the European Council’s headquarters, to the office of Belgian Prime Minister Bart De Wever to gauge his position. De Wever, who has served as Belgium’s prime minister since February, derailed EU plans to tap frozen Russian assets to provide a vital €140 billion loan to Kyiv, which would have covered funding for the next two years, POLITICO reports.

De Wever’s opposition stemmed from concerns that Russian President Vladimir Putin could retaliate against Belgium, where the assets are held. As a result, EU leaders must revisit the question of Ukraine’s funding needs in December, or call an emergency summit sooner.

“It’s a mess,” one diplomat said, speaking anonymously. “This was not how it was meant to play out.”

Belgium’s sudden opposition surprised both EU diplomats and senior officials working for European Commission President Ursula von der Leyen, whose team had reportedly spent days addressing De Wever’s concerns. European Council President António Costa, meanwhile, emerged with the largest share of embarrassment.

“Today in this European Council we will take the political decision to ensure the financial needs of Ukraine for 2026 and 2027, including for acquisition of military equipment,” Costa told Ukrainian President Volodymyr Zelenskyy as they entered the summit on October 23. “And this is a very strong message to Russia. We said repeatedly that we will support Ukraine as long as necessary and whatever it takes. And now we have concretized this.”

Hungarian Prime Minister Viktor Orbán, often considered the EU’s “bad boy,” aided progress by largely staying away from the gathering and refraining from Ukraine discussions.

By the summit’s late-night press conference, Costa and von der Leyen were left explaining the vague and noncommittal conclusions. Diplomats could not confirm whether the plan to use frozen Russian assets as a “reparations loan” for Ukraine remained viable. Costa insisted it was not, but uncertainty persists over if — or when — the EU will approve the use of these assets to support Kyiv’s defense.

The summit had initially held promise. Prior to the asset dispute, EU allies were buoyed by the bloc’s 19th sanctions package against Russia, targeting the country’s shadow fleet, banking, and energy sectors. Meanwhile, Donald Trump imposed “tremendous sanctions” on Russia’s largest oil companies after months of stalled negotiations with Putin. Senior European officials welcomed Trump’s move, viewing it as a boost to the international effort against Moscow.

After tense discussions, EU leaders managed to adopt summit conclusions on climate targets without a breakdown, though the text deferred a decision on the 2040 emissions reduction target. One diplomat described the outcome as a “classic” EU compromise, leaving “everyone equally unhappy.”

Attention soon returned to Ukraine, where French President Emmanuel Macron stressed that the loan proposal has not been abandoned. “It hasn’t been buried, we were able to discuss technical details,” he said. “We need to progress with method, because we can’t do anything that breaks international law.”

Von der Leyen sought to reassure Kyiv, asserting, “We are in for the long haul.” Yet Ukraine faces an urgent need for funding early next year.

EU leaders plan to meet again on October 24 with Zelenskyy and the UK’s Keir Starmer as part of a coalition of willing nations to advance peace efforts. One EU diplomat reflected on the missed opportunity: “After our sanctions, and Trump’s sanctions, the reparations loan should have made this a really good day. But it’s an opportunity we’ve missed.”

By Vafa Guliyeva