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EU Moves Forward with €150 Billion Defense Package Despite Hungary's Obstruction

EU Moves Forward with €150 Billion Defense Package Despite Hungary's Obstruction

European leaders unite to support military aid for Ukraine, as Hungary's Prime Minister Viktor Orbán stands in opposition.
BRUSSELS – At an emergency summit held on Thursday, European Union leaders endorsed a significant €150 billion defense spending plan aimed at bolstering military aid to Ukraine.

While 26 of the 27 EU member states supported a statement affirming their commitment to Ukraine, Hungary, led by Prime Minister Viktor Orbán, declined to endorse the initiative.

The summit sought urgent measures to enhance military support amid ongoing geopolitical tensions stemming from Russia's invasion of Ukraine.

The plan includes proposals for the European Commission to issue fresh loans to member states, thereby facilitating increased defense expenditures across the bloc.

Commission President Ursula von der Leyen introduced the plan, which leaders are expected to review in detail by the next summit scheduled in two weeks.

The statement on Ukraine emphasizes that negotiations regarding peace cannot occur without the involvement of Ukraine itself, insisting on the need to respect Ukraine's sovereignty and territorial integrity.

Orbán’s refusal to back this statement marks a continuation of Hungary's recent trend of distancing itself from mainstream EU positions concerning military support for Kyiv, highlighting the political rift within the bloc on this issue.

The summit also addressed Slovakia's position, where Prime Minister Robert Fico, known for his pro-Russian stance, was ultimately persuaded to support the statement following last-minute adjustments that referenced the need to address gas supply disputes with Ukraine.

Von der Leyen indicated that she would present a more detailed legal framework outlining the various funding options at the next summit, which aims to include mechanisms such as activating a national 'escape clause' in EU fiscal rules and increasing the role of the European Investment Bank in defense spending.

Joint borrowing initiatives, including the issuance of Eurobonds, were not included in the discussions, although French authorities expressed willingness to reconsider this idea in the future.

Germany's Chancellor Olaf Scholz advocated for extending the proposed spending plans to include long-term exemptions for defense investment from EU fiscal regulations, though the broader call for flexibility in enforcing these rules was met with caution by other leaders.

European Council President António Costa, who chaired the emergency summit, underscored the need for financial commitments to support defense initiatives, asserting that the EU is ready to enhance its military capabilities.

Regarding Hungary's stance, Costa remarked that although Hungary's position represented an 'isolation' rather than a division within the EU, its leaders emphasized solidarity among the majority of EU states in support of Ukraine.

They reiterated the importance of collective action and the urgent necessity of delivering military and financial aid to Ukraine as the United States shifts its foreign policy.

Ukrainian President Volodymyr Zelenskyy engaged with EU leaders during the summit, expressing gratitude for the support and confirming upcoming diplomatic engagements in Saudi Arabia to further discussions with U.S. officials.

Despite Hungary's opposition, there was a consensus among the remaining leaders that this did not diminish the EU's firm commitment to Ukraine.

The backdrop of these discussions also included tensions between Hungary and Bosnia and Herzegovina, particularly related to Hungary's support of Bosnian Serb leader Milorad Dodik, who has taken steps to assert independence from the Bosnian state’s judicial system.

Recent developments indicate that the Constitutional Court of Bosnia and Herzegovina has annulled controversial laws passed by the entity led by Dodik, which aimed to separate its judiciary.

This relief was prompted by appeals from Bosniak politicians who sought to maintain constitutional order in the region.
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