Belgium Demands Liability Guarantees on Frozen Russian Assets, Halting EU Loan Plan for Ukraine

Belgium Halts EU Decision on Russian Assets

Brussels, Belgium – Belgian Prime Minister Bart De Wever has issued a stark warning to European Union leaders regarding the legal and financial ramifications of utilizing frozen Russian assets to provide financial aid to Ukraine. During an EU summit held on October 23-24, 2025, Belgium, which hosts the bulk of these immobilized funds, demanded comprehensive liability guarantees from other member states, effectively postponing a decision on a proposed €140 billion loan to Kyiv.

Prime Minister De Wever, who assumed office on February 3, 2025, articulated Belgium's concerns, emphasizing that the country would not shoulder the potential risks alone. The majority of the frozen Russian central bank assets in the EU, estimated to be between €183 billion and €258 billion, are held by the Brussels-based international securities depository, Euroclear. This concentration of assets makes Belgium particularly vulnerable to any legal challenges or retaliatory measures from Moscow.

Legal and Financial Risks Highlighted

Belgium's primary apprehension stems from the significant legal and financial exposure it could face. De Wever warned of potential 'litigation' from Russia, which views any such move as 'theft' and has vowed to pursue legal action. International law protects sovereign assets, making their outright confiscation legally complex. Should Russia successfully sue for the return of these assets, Belgium fears that its taxpayers would be left responsible for repaying billions, a burden it insists must be shared across the bloc.

Furthermore, there are concerns about potential economic retaliation from Russia, including the confiscation of assets belonging to Belgian or other Western companies operating within Russia. De Wever stressed that as a 'small country,' Belgium is particularly susceptible to such countermeasures.

Demands for Mutualized Risk and Collective Action

To move forward, Belgium has outlined three core demands for its EU partners:

• Full mutualization of the risk: All EU member states must commit to sharing the financial burden if Russia makes claims on the assets after the war.
• Legally binding guarantees: Assurances are required that every member state would contribute if the money has to be repaid.
• Collective action: All countries holding frozen Russian assets must act in unison, ensuring that the responsibility is not disproportionately placed on Belgium.

The proposed EU plan involves a 'reparation loan' of approximately €140 billion to €165 billion to Ukraine, backed by the frozen Russian assets. This mechanism aims to avoid direct confiscation, with Ukraine only repaying the loan if Russia provides reparations for the war. The principal amount of the assets would remain untouched unless Russia agrees to such reparations.

Summit Outcome and Future Steps

Despite urgent pleas from Ukrainian President Volodymyr Zelenskyy for swift action, the EU leaders' summit concluded without a definitive agreement on the use of the frozen assets. Instead, the European Commission has been tasked with presenting 'options for financial support' for Ukraine by the next summit in December. This outcome reflects Belgium's firm stance and the broader complexities surrounding the legal and financial implications of leveraging these assets for Ukraine's reconstruction and defense efforts.