Slovakia opposes the EU backup plan for Ukraine before it is announced

The European Union’s efforts to strengthen Ukraine’s defence and financial stability are encountering obstacles, reflecting internal divisions and complex legal considerations.

Belgium rejected last week a proposal to allocate frozen Russian assets to support Ukraine. Similarly, Slovakia has declared it will not participate in any military aid programs for Kyiv. Meanwhile, the EU is developing a new strategy to utilize these Russian assets.

Backup plan for Ukraine

According to three EU diplomats cited by Politico, the European Union is considering raising tens of billions of euros through joint debt to sustain financial support for Ukraine, as Belgium’s objections have derailed plans to use frozen Russian assets to financially sustain the country during the next two years.

Belgium’s Iron Wall: how one PM held up €140 billion for Ukraine

This “Plan B” aims at brigging a growing funding gap, exacerbated by the United States’ decision to make the EU pay for Ukraine as the country fights the Russian aggression. The Kiel Institute estimates that Europe must spend €82 billion annually – about 0.21% of its GDP, to offset reduced U.S. support.

Belgium, which holds roughly two-thirds of the world’s frozen Russian assets – 86% of those within the EU, has raised significant legal concerns about using these funds. Prime Minister Bart De Wever warned that Russia could challenge the move, potentially triggering costly legal battles or retaliation. Other countries, including Japan, the UK, and Canada, also hold Russian assets, but their usability remains uncertain.

The issue dominated discussions at last Thursday’s European Council summit, where several leaders proposed collective borrowing as an alternative.

EU leaders have postponed a final decision on the reparations loan until their December summit, leaving Ukraine’s immediate financial needs unresolved.

A European Commission paper, expected fo be finalised in the coming weeks, will present EU capitals with three options: a reparations loan using Russian assets, a joint debt initiative, or a controversial third path – ceasing financial support for Ukraine altogether. Only Hungary is likely to support this last option, a diplomat quoted by Politico noted.

But he could be wrong.

Slovakia signals resistance

Adding to the EU’s challenges, Slovak Prime Minister Robert Fico announced on 26 October that Slovakia will not participate in EU programs financing Ukraine’s military efforts.

“Slovakia will not join financial schemes to support Ukraine’s war efforts or military spending,” Fico said.

Slovakia has limited its support to commercial arms deals, avoiding direct military aid.

Fico also criticized EU sanctions on Russia, arguing they harm Europe more than Moscow. Slovakia and Hungary, both reliant on Russian oil, are wary of impending U.S. sanctions on Russian energy giants like Rosneft and Lukoil, set to take effect next month, which could disrupt their energy supplies.

Overcoming internal divisions

The EU’s unity on Ukraine is increasingly strained. While some member states remain committed, others express skepticism. Italy, for example, is bolstering its support with a €2.5–3 billion military aid package, including munitions and missile systems to strengthen Ukraine’s air defenses, according to Prime Minister Giorgia Meloni. In contrast, Slovakia’s refusal and Belgium’s legal concerns underscore deep divisions within the bloc.

The European Commission is now tasked with crafting a viable funding strategy. The proposed joint debt plan, which would see the EU collectively borrow billions to support Ukraine, is gaining traction as a fallback option, because it could be sustained legally.

Unanimity – requiring agreement from all 27 member states – is the default for sensitive areas like Common Foreign and Security Policy (CFSP) measures, including sanctions and certain aid packages tied to geopolitical goals.

Joint borrowing often falls under the EU’s budgetary framework, where qualified majority voting (QMV) applies. QMV requires approval from 55% of member states (15 out of 27) representing at least 65% of the EU population—effectively sidelining smaller countriess like Hungary (population 9.6 million) and Slovakia (5.5 million).

The loan can therefore proceed without Hungary and Slovakia if structured under QMV. The Commission could propose it as a budgetary amendment or new facility, bypassing CFSP unanimity by emphasizing economic stabilization over foreign policy.

Enhanced cooperation (Article 20 TEU) offers another route: A coalition of willing states could pool resources, though this risks fragmenting EU solidarity.

But joint borrowing is no silver bullet: several EU countries, including France, fear that issuing collective debt would raise their own borrowing costs and jeopardize national credit ratings.

Diplomatic sources have suggested the joint debt idea is a “scarecrow” to pressure consensus on the asset loan, but if needed, it could be fast-tracked by December’s summit.

Ukrainian President Volodymyr Zelenskyy has urged EU leaders last week to act swiftly, stressing the need for funds to bolster air defences and frontline positions.

Sources: Politico, BETA, European Pravda, The Guardian, edited by a.k.

Caption: Slovakia’s Prime Minister Robert Fico before the start of the Euro Summit in Brussels, Belgium, 23 October 2025. EU leaders convened in Brussels to discuss the situation Ukraine, European defence, developments in the Middle East, competitiveness, housing and migration. EPA/OLIVIER HOSLET