The EU may create a new fund for military assistance to Ukraine

The European Union is looking for ways to overcome Hungary's blocking of military aid to Ukraine through the European Peace Fund. For almost 1.5 years, Hungary has been blocking 6 billion euros that were supposed to compensate EU countries for the supply of weapons to Kyiv.

This was reported by RBC-Ukraine with reference to El Pais.

In response, the EU is considering creating a new intergovernmental fund with voluntary contributions, excluding Budapest's participation. However, the creation of such a fund requires the unanimity of all 27 EU countries, including Hungary.

The EU foreign ministers will discuss this proposal at a meeting in Luxembourg organized by the head of European diplomacy, Josep Borrell. The creation of an alternative fund or other workarounds are being discussed, but require legal review.

In addition, the EU is finalizing a €35 billion package for Ukraine to be paid out of the proceeds of frozen Russian assets in the EU. However, Hungary is also obstructing this decision, insisting on a delay until after the US elections in November.

The EU is facing a growing debt to countries that continue to supply Ukraine with military equipment despite Hungary's blocking of compensation.

Author - Dmitriy Levchenko, 12/10/2024