EU Agrees 90 Billion Euro Loan for Ukraine Defense

European Union leaders reached an agreement early Friday to provide Ukraine with a 90 billion euro interest-free loan to support its defense efforts against Russia's ongoing invasion, opting against directly tapping into frozen Russian central bank assets after months of intense debate. The funding, equivalent to about 106 billion dollars, will come from contributions by 23 of the bloc's 27 member states, with exemptions granted to Hungary, Slovakia and the Czech Republic to secure passage of the deal.

The decision followed late-night discussions in Brussels on Thursday, where concerns over legal risks and potential Russian retaliation dominated talks. Belgian Prime Minister Bart De Wever had insisted on guarantees protecting Belgium, which holds the largest share of the approximately 210 billion euros in frozen Russian assets within the EU, primarily at the Euroclear clearing house in Brussels. De Wever warned that without such protections, Belgium could face billions in liabilities if Moscow pursued successful lawsuits against Euroclear. "There can be no flexibility on issues that threaten the financial security of Euroclear and Belgium," he stated earlier in the day.