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Hungary opposes changes to mechanism for freezing Russian assets — Bloomberg

At present, the freeze is renewed every six months and requires the unanimous approval of all 27 European Union member states

BRUSSELS, December 11. /TASS/. Hungary is opposing a proposed change to the decision-making process for extending the freeze on Russian assets, Bloomberg reported, citing sources.

At present, the freeze is renewed every six months and requires the unanimous approval of all 27 European Union member states. This has raised concerns that Hungary or any other country could block the continuation of the restrictive measures.

The European Commission is now proposing to lengthen the intervals between extension decisions and to replace the requirement of unanimous consent with a qualified majority vote. According to the sources, most member states support this approach. Nevertheless, several governments are hesitant, while Hungary is firmly against it.

Bloomberg reports the European Commission is expected to present its proposal on the mechanism shortly, with hopes that member states will reach an agreement by the end of this week. The reform is intended to address concerns in Belgium, home to Euroclear, the depository where a significant portion of Russian assets is held. Belgium opposes issuing loans to Ukraine secured by these frozen Russian funds, fearing legal and financial repercussions should the assets ever be released.

Earlier, the European Commission unveiled plans to expropriate all frozen Russian assets within Europe, totaling approximately 210 billion euros. This move is framed as a "reparations loan" scheme intended to fund Ukraine’s needs in 2026-2027. The Commission has also called on non-EU Western nations to join this initiative.

Russian Justice Minister Konstantin Chuichenko told TASS that proposals for retaliatory measures against the potential seizure of Russian assets have already been submitted to the country’s leadership. Russian Presidential Spokesman Dmitry Peskov emphasized that Moscow will not leave such actions unanswered.