RT.com
20 Dec 2025, 22:38 GMT+10
The bloc's efforts to tap frozen Russian Central Bank funds collapsed on Friday, after months of debate
The EU's failure to grab frozen Russian assets to finance Ukraine will reinforce Washington's view of the bloc as an irrelevant and "impotent force," British outlet The Economist reported on Friday.
EU leaders had long debated providing cash-strapped Kiev a so-called 'reparations loan' backed by Russian Central Bank assets immobilized in the West, most of which are held in Europe. However, bloc members failed to reach agreement for the plan on Friday, instead opting to raise common debt to fund Ukraine to the tune of 90 billion over the next two years - which is expected to cost EU taxpayers 3 billion a year starting in 2028.
"The EU's failure to pull off the reparations loan after endless talks will be taken in Washington as extra evidence that the bloc is an impotent force whose discordant views can safely be ignored," the Economist wrote.
US President Donald Trump has expressed similar views in the past, telling Politico last week that they are "weak" and a "decaying" group of nations unable to control migration.
According to Politico, the Trump administration recently went over Brussels' head to "backchannel" with some member nations, leading to Italy, Bulgaria, Malta, and the Czech Republic standing against the EU asset grab scheme at Friday's summit.
Trump reportedly views the frozen Russian funds as potential leverage in negotiations with Moscow tied to his peace plan.
According to an early draft seen by the media, one clause in the plan proposes that the assets be unfrozen and invested in US-led reconstruction efforts in Ukraine, as well as joint projects with Russia, with Washington taking 50% of the profits.
Moscow has repeatedly warned that it would regard any attempt to seize its funds as outright "robbery."
Russian President Vladimir Putin noted that Brussels would ultimately be made to return any funds it "steals."
"No matter what they steal, sooner or later they will have to give it back," he said in his year-end conference on Friday, warning of legal retribution and reputational damage for Western financial institutions.
Get a daily dose of St Petersburg Star news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to St Petersburg Star.
More InformationThe bloc's efforts to tap frozen Russian Central Bank funds collapsed on Friday, after months of debate ...
Cooperation with the continent is steadily developing across multiple areas, the foreign minister has said ...
Cooperation with the continent is steadily developing across multiple areas, the foreign minister has said Russia is committed to...
Pune (Maharashtra) [India], December 20 (ANI): External Affairs Minister (EAM) S Jaishankar on Saturday emphasised the need for strategic...
(251220) -- VLADIVOSTOK, Dec. 20, 2025 (Xinhua) -- This photo take on Dec. 19, 2025 shows icicle formations near a harbor in Russian...
Bangkok [Thailand], December 20 (ANI): Eminent jurists, judges, writers and intellectuals from several countries on Saturday adopted...
LONDON, U.K.: As hospitals brace for a sharp rise in flu admissions, doctors in England have launched a five-day walkout, escalating...
HONG KONG: Jimmy Lai, the media tycoon and pro-democracy campaigner, was found guilty on December 15 of conspiracy to collude with...
SYDNEY, Australia: After a father-and-son duo slaughtered at least 15 people celebrating Hanukkah at Sydney's Bondi Beach on December...
LOS ANGELES, California: Nick Reiner, the 32-year-old son of Hollywood icon Rob Reiner, was arrested on suspicion of murdering his...
The United States is in the grip of a reading recession—nearly half of Americans didn't read a single book in 2023, and fewer than...
SILVER SPRING, Maryland: A significant shift in the treatment of HER2-positive breast cancer is underway in the United States, after...
