Cyprus has ruled out reviving the idea of using frozen Russian assets to fund a €90 billion loan for Ukraine, shutting down a suggestion floated by EU foreign policy chief Kaja Kallas after Hungary moved to block the package, according to a Euractiv report.
Cypriot Deputy Minister for European Affairs Marilena Raouna said on Tuesday that Cyprus, which currently holds the EU Council presidency, has no plans to reopen the frozen-assets question.
“Right now we are working on the implementation of the leaders’ decision of December,” Raouna told reporters ahead of a meeting of European affairs ministers.
“It’s on the basis of that decision and the mandate that we received that, as the presidency, we advance the work at the Council in a speedy manner.”
EU leaders dropped the frozen-asset option at their December summit after several member states raised concerns, agreeing instead on the €90 billion joint loan to cover Ukraine’s immediate financial needs.
Hungary threw that plan into doubt on Sunday when it announced it would block the loan — prompting Kallas to suggest the bloc could “always go back to the frozen assets.”
European Council President António Costa added to the pressure on Budapest on Monday, writing to Prime Minister Viktor Orbán that “no member state can be allowed to undermine the credibility of decisions taken collectively by the European Council.” Cyprus holds the presidency until July.