Hungary calls use of Russian assets for Ukraine loans ‘war provocation of unprecedented scale’

By Burak Bir

LONDON (AA) - Hungarian Foreign Minister Peter Szijjarto on Monday reiterated concerns over EU plans to use frozen Russian assets to finance loans for Ukraine, warning the move would amount to a “war provocation of an unprecedented scale.”

"The EU is disregarding its own rules by planning to finance this package through frozen Russian assets," Peter Szijjarto wrote on US social media company X.

About €210 billion ($246 billion) in Russian assets are frozen in the EU, and the bloc proposes using the funds to support Ukraine.

Szijjarto said the move would raise the risk of escalation “to a level not seen in the past three years,” adding that freezing Russian assets was already a significant step, but using those assets “goes even further.”

“Therefore, at today’s Foreign Affairs Council, I will make it clear that for Hungary, the risk of further escalation is unacceptable," he said. "Simply because if a war were to break out between Europe and Russia, Europe would not survive it."

EU foreign affairs ministers are meeting in Brussels on Monday, and the European Commission is pushing member states to reach an agreement on the funds at a European Council summit later this week.

However, most of the frozen Russian assets are held by Belgian bank Euroclear, and Belgium has repeatedly raised concerns about the plan.

On Friday, Russia’s central bank said the use of its assets would be illegal and that it reserved the right to take any measures necessary to protect its interests.

Later, EU foreign policy chief Kaja Kallas said the bloc had decided to “indefinitely immobilize” Russian assets held in Europe.

"This ensures that up to €210 billion in Russian funds stay on EU soil, unless Russia fully pays reparations to Ukraine for the damage it has caused," she posted on X.