Europe’s plan to use the Russian sovereign assets to support a loan for Ukraine ran into fierce opposition at a summit last month from Bart De Wever, prime minister of Belgium, where the money is held.
But the question of how to use these funds has taken on new urgency as Ukraine peace talks intensify.
To the EU’s dismay, U.S. President Donald Trump’s original peace plan suggested that Washington profits from the use of these assets in Ukraine, with a remaining share being handed back to Russia.
Brussels, for its part, believes that the assets should be used instead to underpin a loan to Ukraine, which is set to run out of money early next year.
“I cannot see any scenario in which the European taxpayers alone will pay the bill,” von der Leyen told lawmakers.
Over the past few days, several EU diplomats said that von der Leyen ordered her officials to present a draft legal text on the reparations loan within days as momentum grows for a solution.
“If we don’t move, others will move before us,” said one EU official, granted anonymity to speak freely.
But despite intensive talks between Belgium and the Commission in recent weeks, De Wever still has concerns about legal liabilities and the risk of retaliation from Moscow if the Russian funds were used for the loan.