EU divided on 140 billion euro loan for Ukraine to buy weapons

Thanh Hà |

The European Union (EU) is divided on whether Ukraine should use a 140 billion euro loan to buy US weapons.

European countries have yet to agree on whether to lend Ukraine 140 billion euros to buy weapons to serve the conflict in the context of the country's conflict with Russia. The parties are debating the conditions for this loan.

The idea being promoted by the three EU member states is to ensure that the loan for arms must flow back into the EU's defense sector as much as possible, not across the Atlantic.

Tensions are expected to increase at a meeting of EU leaders in Brussels on October 23 as the parties set a target of assigning the European Commission to make a legal proposal to draft loans.

Although many key issues related to the EU's loan to Ukraine for arms purchases have not been agreed upon, the conflict has increased over whether conditions should be attached to the loan, which is funded by frozen Russian assets. The EU's loan to Ukraine will be used for both defense needs and regular budget support - but the specific details have not been discussed yet.

To boost the EU's rapidly growing defense industry and support Ukraine, France has strongly supported the use of loans to buy European weapons for Kiev. This content is also supported by Germany and Italy.

The idea was first suggested by German Chancellor Friedrich Merz in an op-ed in the Financial Times in September. "Such a comprehensive program must also help strengthen and expand the European defense industry. That will serve both our collective security and our European sovereignty," the German Chancellor wrote.

However, with other opinions including the Netherlands and Nordic countries, the Baltic argue that Ukraine should be free to spend this money according to its needs, including buying weapons produced by US companies.

Following pressure from Berlin and Paris, the summit's draft conclusions mentioned the "essence of strengthening the European defense industry" through loans.

Critics say the approach is inappropriate. "If the goal is to keep Ukraine fighting, the criteria must be kept open," said a senior EU diplomat.

They said that adding a European Procurement clause would prevent Kiev from accessing much-needed weapons such as patriot missile defense systems, which are only manufactured in the US.

I hope they can buy more and more weapons from Europe, but we do not have all the capabilities and weapons they need in Europe. So in fact, they should also be allowed to buy from the US, if they need to, said Finnish Prime Minister Petteri Orpo.

Disagreements on the issue emerged last week at a dinner of EU defense ministers, according to an EU official.

Former Defense Minister Lithuania Dovile Sakaliene - who resigned on October 22 due to disagreements with the country's prime minister on the defense budget - supported expanding the loan so Ukraine could buy weapons from the US.

Thanh Hà
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