There is a Russian treasure kept in Belgium. A heavy treasure, worth 190 billion euros, frozen in the Belgian financial institution Euroclear. A treasure that the European Union would like to use as a large “reparative” loan to support Ukraine in defense costs and repairing the damage caused by Russia’s large-scale invasion.
Von der Leyen’s proposal not to use European taxpayers’ money
Russian assets are the best leverage that the EU can use in negotiating the peace plan for Kiev. A few days ago, the leader of the Commission, Ursula von der Leyen, relaunched the idea of being able to use Russian capital after pressure from many governments, starting with Germany and France. Initially stalled due to financial and legal concerns, the idea of using Russian funds – and not entirely European taxpayers’ money – has made a comeback after the release of the US plan for peace in Ukraine. Vladimir Putin said he was inclined to accept the draft which fully responds to the Russian president’s requests, while making the withdrawal of the Ukrainians from the occupied territories as a condition.
Putin: “The war ends only if Kiev withdraws from the occupied territories. Ready to discuss the US plan”
Ukrainian President Volodymyr Zelensky expressed his support for von der Leyen’s initiative via social media, after a phone call with the President of the Commission. The Kiev leader thanked the number one European executive for the support expressed before the European Chamber and reiterated the need to increase sanctions against Moscow. “As long as Russia continues to reject all peace efforts,” he underlined, “economic pressure must increase and military and financial assistance to us continue.” During the conversation, the Ukrainian president also mentioned the “Russian treasure”, the economic resource that both consider strategic.
The Belgian opposition
On the European front, the head of the Union’s foreign policy, Kaja Kallas, also confirmed her belief that the reparation loan could represent the most effective solution. But the vision of the European leadership clashes with the Belgian executive. Prime Minister Bart De Wever did not hide his opposition to the idea of using Russian assets frozen in the Euroclear institute, underlining that the move could jeopardize a possible peace agreement to put an end to a conflict that has now lasted almost four years.
In a letter to von der Leyen, De Wever warned that “proceeding hastily with the plan to borrow from frozen Russian assets would risk preventing an eventual peace agreement from being reached.” De Wever’s letter comes as the European Commission prepares to respond to Belgium’s concerns. According to EU officials, draft legislation on the use of frozen assets could be presented as early as Friday or over the weekend.
European leaders are ready to put new pressure on Belgium to get the green light for the plan. Belgium’s support for the plan is considered crucial, since the assets that the European Union hopes to employ are held by the Belgian financial institution. The step forward by the Commission does not smooth out the divisions of the European chancelleries, but the pressure on Belgium towards an unfreezing of assets is increasingly stronger.
