Italy joins Belgium in criticizing EU plan to hand Russian assets to Ukraine

Rome’s intervention — by the EU's third most populous country and one of its largest voting powers — less than a week before an EU leaders' meeting in Brussels undermines the European Commission’s hopes of finalizing an agreement on the plan, Politico writes.

The Commission is insisting that EU member states reach an agreement at the European Council summit on December 18–19 so that billions of euros from Russian reserves held at Belgium's Euroclear bank can be released to support Kyiv’s war-hit economy.

"Now Italy has shaken up the diplomatic dynamics by drafting a document with Belgium, Malta and Bulgaria urging the Commission to explore alternative options to using the Russian assets to keep Ukraine afloat over the coming years," the journalists write.

The four countries are referring to a Plan B that would involve issuing joint EU debt to finance Ukraine in the years ahead.

However, the outlet notes that the idea has its drawbacks. Critics argue that it would add to the already heavy debt burden of Italy and France and would require unanimity — meaning it could be vetoed by Hungarian Prime Minister Viktor Orban, who is aligned with the Kremlin.