Brussels: Belgium’s Prime Minister Bart De Wever has issued a strong caution to the European Union, warning that a proposal to use frozen Russian state assets to finance Ukraine’s war effort may backfire and complicate efforts to achieve a future peace agreement. In a detailed letter addressed to European Commission President Ursula von der Leyen, De Wever described the EU’s emerging “reparations loan” mechanism as a step that breaks with long-standing diplomatic norms and risks damaging the conditions necessary for a negotiated settlement. His letter underscored Belgium’s pivotal role in the debate, given that a vast majority of the frozen Russian sovereign assets estimated at roughly €185 billion are held and managed through the Belgian financial clearing institution, Euroclear.
The prime minister argued that historically, the immobilized assets of a warring state have been addressed only in the aftermath of conflicts, typically through formal treaties or negotiated reparations frameworks agreed upon by victorious and defeated parties. Belgium fears that diverting such assets while the war is ongoing would not only challenge legal precedents but could also lock the EU into a position that might be interpreted by Moscow as prejudging the terms of an eventual peace deal. Such a move, De Wever warned, could weaken the EU’s credibility as a mediator and intensify geopolitical tensions at a moment when diplomatic space is urgently needed.
The warning comes at a delicate time for European policymakers. A month earlier, EU leaders attempted to secure an agreement to mobilize around €140 billion from frozen Russian sovereign assets to support Kyiv’s defense and economic stability. However, Belgium withheld its approval, effectively stalling the initiative and exposing internal divisions within the bloc. Belgium’s resistance has added pressure on Brussels, which must now address legal, financial and geopolitical concerns before the EU can finalize its plan.
In response to Belgium’s objections, the European Commission is preparing a revised legal text expected to be circulated this week. The updated draft aims to reassure member states about potential risks, clarify the repayment structure of the proposed loan mechanism, and ensure compliance with international law. Nevertheless, diplomats believe that overcoming Belgium’s reservations will be essential for any collective EU action.
The broader debate highlights a growing tension within Europe: how to reconcile the immediate need to bolster Ukraine’s resilience with the long-term objective of securing a sustainable and just peace. Belgium’s intervention has forced the EU to grapple with the possibility that measures taken today even with the intention of helping Ukraine could complicate post-conflict negotiations tomorrow. The dispute underscores a fundamental challenge for the bloc as it navigates one of the most consequential foreign policy dilemmas of the decade.