The Financial Times reported that Sweden, the Netherlands, Spain, and Poland are jointly urging the European Commission to restart work on using more than €200 billion ($233 billion) in frozen Russian central bank assets to fund Ukraine. Belgium blocked the proposal in December over legal and financial concerns.The Council says the EU’s €90 billion ($105 billion) loan covers two-thirds of Ukraine’s projected funding needs for 2026 and 2027. In the Financial Times,
The Financial Times reported that Sweden, the Netherlands, Spain, and Poland are jointly urging the European Commission to restart work on using more than €200 billion ($233 billion) in frozen Russian central bank assets to fund Ukraine. Belgium blocked the proposal in December over legal and financial concerns.
The Council says the EU’s €90 billion ($105 billion) loan covers two-thirds of Ukraine’s projected funding needs for 2026 and 2027. In the Financial Times,Swedish Foreign Minister Maria Malmer Stenergard called the loan a “manifestation of the EU’s commitment to support Ukraine,” but said it was “clearly not enough.”
A draft obtained by the Kyiv Independent is dated 27 August and asks EU foreign ministers to hold an initial discussion in Ireland on 1–2 September. Three EU diplomats told the outlet they expected it to be sent the same day.
EU rules already channel profits from frozen assets to Ukraine, primarily to help repay EU and G7 loans. The Commission proposedusing cash balances from the Russian holdings for a separate reparations loan, while leaving the assets frozen.
In February, Kaja Kallas acknowledged that EU officials had done no further work on the option since December. Separately, Ukrainians and their supporters rallied across dozens of countries from 22 to 24 August to demand that Europe use the assets.
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Ukrainians rally across dozens of countries to demand Europe use Russia’s frozen billions
Belgium’s objections remain unchanged. The government fears Russian legal retaliation and wider risks to financial markets because most of the assets are held in Belgium. No new proposal has resolved those concerns, and the coalition is asking the Commission for a progress report on possible legal and technical solutions.
Failure to provide stronger military and financial support for Ukraine could leave Europe vulnerable to growing Russian influence, meaning Europeans might have to "start learning Russian," the EU's top diplomat, Kaja Kallas, said, the Guardian reported on June 17."We know that Russia responds to strength and nothing else," Kallas said. She called Ukraine "Europe's first line of defense" and emphasized the need for continued sanctions against Russia and more aid to Kyiv.The comments come as Russi
Failure to provide stronger military and financial support for Ukraine could leave Europe vulnerable to growing Russian influence, meaning Europeans might have to "start learning Russian," the EU's top diplomat, Kaja Kallas, said, the Guardian reported on June 17.
"We know that Russia responds to strength and nothing else," Kallassaid. She called Ukraine "Europe's first line of defense" and emphasized the need for continued sanctions against Russia and more aid to Kyiv.
The comments come as Russian forces are intensifying their attacks on Ukrainian cities and the Kremlin continues to reject a push by Kyiv and its Western allies for an unconditional ceasefire.
"To quote my friend, NATO Secretary General Mark Rutte: if we don’t help Ukraine further, we should all start learning Russian," Kallas said.
Kallas cited a sharp increase in Russia's military spending, noting that Moscow is now allocating more money to defense than the EU combined, and more than its own health care, education, and social policies put together.
"This is a long-term plan for a long-term aggression," she said.
In light of this, Kallas urged governments to adopt NATO's new target of spending 5% of GDP on defense, warning of Russia's hybrid warfare tactics, including airspace violations, attacks on critical infrastructure, and covert sabotage operations within EU borders.
The 5% defense spending target is expected to be formally adopted during the upcoming NATO summit, which will take place on June 24 and 25 in The Hague. U.S. President Donald Trump has insisted that the European allies increase their defense budgets.
Earlier, Kallas said Russian President Vladimir Putin "cannot be trusted" to mediate peace while continuing to bomb Ukrainian cities and civilians, as Moscow suggested to mediate negotiations between Israel and Iran amid growing escalation.
"Clearly, President Putin is not somebody who can talk about peace while we see actions like this," she said during a June 17 briefing, after a massive Russian missile and drone strike on Kyiv killed at least 28 people and wounded over 130.
Kallas also reiterated her call for the EU to move forward with tightening the oil price cap on Russian exports, even without U.S. backing. She warned that the ongoing Israel-Iran crisis could cause oil prices to spike, boosting Russia's war revenues.
The EU is currently preparing its 18th sanctions package against Moscow, targeting energy, defense, and banking sectors. The 17th round of sanctions came into effect in May.
Russian President Vladimir Putin "cannot be trusted" to mediate peace in the Middle East while continuing to launch brutal attacks against civilians, EU High Representative Kaja Kallas said on June 17, following a mass Russian strike on Kyiv that killed at least 21 people and injured over 130."Clearly, President Putin is not somebody who can talk about peace while we see actions like this,” Kallas said during a briefing in Brussels. "He's not a mediator that can really be considered. Russia cann
Russian President Vladimir Putin "cannot be trusted" to mediate peace in the Middle East while continuing to launch brutal attacks against civilians, EU High Representative Kaja Kallas said on June 17, following a mass Russian strike on Kyiv that killed at least 21 people and injured over 130.
"Clearly, President Putin is not somebody who can talk about peace while we see actions like this,” Kallas said during a briefing in Brussels. "He's not a mediator that can really be considered. Russia cannot be a mediator if they don't really believe in peace."
Russia has sought to position itself as a potential mediator in the escalating conflict between Israel and Iran. Kremlin spokesperson Dmitry Peskov said on June 17 that Israel appeared unwilling to accept Russia’s offer of mediation.
President Donald Trump said on June 15 that Putin had expressed willingness to help mediate between Tel Aviv and Tehran — an idea already dismissed by France. EU leaders have also questioned Moscow’s neutrality given its deep military ties with Iran, which has supplied Russia with drones and missiles used in attacks on Ukraine.
Kallas also pointed to Iran's role in enabling Russia's attacks. "Iran has helped Russia do these attacks… their cooperation is working in this regard," she said.
Kallas urged the European Union to press forward with lowering the oil price cap on Russian oil, even without U.S. support, warning that Middle East tensions could otherwise drive prices up and boost Russia's revenues.
"The whole idea of the oil price cap is to lower the prices," Kallas said. "We shouldn't end up in a situation where the crisis in the Middle East increases oil prices and makes Russia earn more… that would mean they can fund their war machine on a bigger scale."
Her warning comes after global oil prices soared on June 13, following an Israeli strike on Iran that raised fears of a broader regional conflict. Brent and Nymex crude prices surged more than 10% before stabilizing around 7.5% higher, with Brent at $74.50 a barrel and Nymex at $73.20, the BBC reported.
The spike threatens to undermine Western efforts to restrict Russia’s wartime revenues, which heavily depend on oil exports.
Earlier, Kallas said the EU can act independently to lower the oil price ceiling, noting that most Russian crude flows through European-controlled waters.
"Even if the Americans are not on board, we can still do it and have an impact," she said.
Her remarks come as the EU works on its 18th sanctions package targeting Russia's energy, banking, and defense sectors. The 17th package entered into force on May 20. European Commission President Ursula von der Leyen has said new measures will further target Russia's war-sustaining supply chains.
Kallas spoke hours after one of Russia's deadliest attacks on Kyiv since the start of its full-scale invasion. The nearly nine-hour assault saw Moscow fire 472 aerial weapons, including over 280 Shahed drones and multiple cruise and ballistic missiles.
Ukraine's Air Force reported intercepting 428 targets, but several missiles hit residential buildings, including a nine-story apartment block in Solomianskyi district, where 16 people were killed.
President Volodymyr Zelensky called the assault "one of the most horrifying attacks on Kyiv" and again called on Western leaders to act decisively.
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