CaliToday (18/12/2025): As European Union leaders gathered in Brussels on Thursday morning for a pivotal European Council summit, Polish Prime Minister Donald Tusk issued a chilling ultimatum regarding the future of aid to Ukraine.
With the security architecture of the continent hanging in the balance, Tusk framed the financial debate not merely as a matter of budgeting, but as an existential choice for Europe itself.
A Stark Choice for Europe
Speaking to reporters ahead of the summit, Prime Minister Tusk did not mince words. He called on his fellow heads of state to shed political hesitation and take immediate responsibility for the war on the bloc's eastern border.
"We now have a simple choice: either money today, or blood tomorrow," Tusk declared. "I am not talking about Ukraine; I am talking about Europe. I think that all European leaders must finally take responsibility."
The Polish leader's comments reflect a growing anxiety in Eastern Europe that delays in financial support for Kyiv could lead to a collapse of the front line, bringing Russian aggression directly to the doorstep of NATO and the EU.
A Summit "Until It Is Done"
The urgency is shared by the EU's top brass. Antonio Costa, President of the European Council, has reportedly drawn a line in the sand. According to sources in Brussels, Costa has stated that the meeting which kicked off on December 18 will not conclude until a final decision is reached regarding Ukraine's financing for the next two years.
The summit is expected to run through December 19, but officials are prepared for a marathon session to break any deadlock.
The Solution: "Reparation Loans"
At the heart of the negotiation is a creative financial instrument championed by Kaja Kallas, the EU High Representative for Foreign Affairs and Security Policy. Kallas described the proposed "reparation loan" as the best viable option on the table, expressing hope that a consensus would be locked in within the next 48 hours.
How the "Reparation Loan" Works: Based on a proposal originally floated by European Commission President Ursula von der Leyen, this mechanism bypasses the legal complexities of outright confiscation.
Collateral: The EU proposes using immobilized Russian assets as collateral for massive loans to Ukraine.
Repayment Structure: Ukraine would not be responsible for repaying these loans from its own pocket. Instead, the debt would only be settled once Russia pays war reparations. Essentially, the loan acts as an advance on the damages Russia owes.
The Numbers: Leveraging Russian Assets
The financial stakes are massive. Euroclear, the Belgium-based financial services company, is currently holding over €175 billion in cash generated from frozen Russian sovereign assets.
The Target Amount: The EU is aiming to secure a package between €130 billion and €140 billion for Kyiv.
The Timeline: The final figure will be calibrated based on an upcoming International Monetary Fund (IMF) assessment of Ukraine's financial gaps for 2026 and 2027.
However, the mechanism has layers of complexity. Before greenlighting the new reparation loan, EU negotiators are working to integrate it with the previous G7 commitment a $50 billion (€45 billion) loan agreed upon last year, which is already being serviced by the interest profits (windfall contributions) from these same frozen assets.
As the leaders retreat behind closed doors this evening, Tusk’s warning echoes in the corridors of Brussels: the price of financial caution today may be paid in human lives tomorrow.