Using frozen Russian assets remains the best solution for supporting Ukraine, according to Daniel Szeligowski, an analyst at the Polish Institute of International Affairs.
Source: “Espreso”
According to the expert, Brussels is currently discussing three possible scenarios for financing Ukraine, though not all of them enjoy unanimous support among European politicians.
The first and best option is transferring frozen Russian assets for Ukraine’s benefit. “There is enough money, but there is a lack of political will,” Szeligowski emphasized, adding that a final decision may be made as early as the end of January.
The second scenario is issuing new Eurobonds to finance Ukraine’s needs. However, this step is politically sensitive, especially for countries that traditionally oppose such instruments, including Germany.
The third, worst option is allowing Ukraine to declare technical bankruptcy should there be no political agreement among partners.
Szeligowski stressed that the primary hope still lies in the first scenario, which would provide real resources for the Ukrainian economy without additional debt burden.
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