EU Commission President von der Leyen announces substantial financial assistance for Ukraine.
EU Commission President Ursula von der Leyen plans to allot billions in fresh EU financial aid to Ukraine, amounting to around 35 billion euros, despite opposition from Hungary. She conveyed this during a visit to Ukrainian President Volodymyr Zelenskyy in Kyiv on platform X. This financial aid is slated to be a part of the larger support package being planned by the G7 group, which is expected to exceed 50 billion US dollars in total.
Von der Leyen's proposal needs the approval of a majority of EU states. "Given the relentless Russian attacks, Ukraine continues to rely on continued EU support," von der Leyen wrote. This financial aid would constitute another significant contribution from the EU towards Ukraine's reconstruction.
The G7 nations decided on new financial aid for Kyiv at their June summit. This loan of 50 billion US dollars is to be secured through interest payments from frozen Russian assets. EU representatives participate in G7 meetings. The financial aid is to be distributed among the participating nations and the EU.
However, the US will only participate if the Russian money stays frozen permanently. Hungary is creating issues in this regard. As per EU rules, all 27 EU countries need to agree to the freezing of funds every six months. Von der Leyen's proposal now offers a way that doesn't necessitate unanimity. According to the Commission, the EU Commission will grant the 35 billion financial aid directly to Ukraine itself. This requires the approval of the European Parliament and a qualified majority of EU states.
Orbán's questionable ties with Moscow
This means that at least 15 countries representing at least 65% of the EU's total population need to concur. The government of Hungarian Prime Minister Viktor Orbán maintains amicable relations with Russia. Since the beginning of the Ukraine war, Orbán has attempted to halt EU accession talks with Kyiv, delayed western sanctions, and obstructed financial and military aid.
He accused the EU of bringing the conflict to Europe through its aid to Ukraine. In his view, Ukraine cannot defeat Russia. There's been an ongoing debate within the EU about what to do with the Russian assets.
In the spring, it was decided that 90% of the usable interest payments from the safekeeping of Russian central bank funds would be channeled into EU funds for financing military equipment and training. The remaining 10% will be utilized for direct financial aid.
Despite Hungary's opposition, EU Commission President Ursula von der Leyen plans to provide significant financial aid to Ukraine, aiming to mitigate the impact of the Ukrainian conflict. This decision is a response to Ukraine's ongoing reliance on EU support due to relentless Russian attacks.
