Netherlands Renews Efforts to Use Up to €210 Billion in Russian Assets for Ukraine

The Netherlands aims to resume negotiations on using up to €210 billion in frozen Russian assets to support Ukraine's defense next year. Dutch Finance Minister Eelco Heijnen on Tuesday sought support from EU counterparts during closed-door debates in Brussels, as reported by Politico from six diplomats and EU officials.

Resuming the discussion on Russian assets risks reigniting a tense legal, commercial, and political dispute that emerged late last year. At that time, Belgian Prime Minister Bart De Wever opposed the European Commission due to fears that his country would be forced to return billions in Russian funds. Bulgaria, France, Italy, and Malta also expressed concerns, while the European Central Bank consistently warned that using frozen funds could deter other governments from doing business in the eurozone.

Heijnen's initiative comes despite Brussels not yet having transferred any euros from the €90 billion loan, agreed upon by 24 EU leaders in December. This loan will only cover two-thirds of Ukraine's projected budget deficit until 2027. The Netherlands and Nordic countries prefer using Russian assets, as the Commission never withdrew its initial proposal on this matter.

The Hague contacted several EU capitals ahead of Tuesday's Ecofin meeting. Estonia, Latvia, Lithuania, and Finland supported Heijnen's calls. Other countries remained silent, aware of the controversial nature of the discussion. A spokesperson for the Dutch government stated that the European Council agreed to freeze assets until Ukraine receives reparations, and the Netherlands' position aligns with this agreement.