Brussels: The European Commission has presented EU member states with two possible ways to provide Ukraine with £90bn in financial support over the next two years: tapping frozen Russian state assets or borrowing on international markets. Commission President Ursula von der Leyen said she favours what she called a reparations loan based on proceeds from Russian assets frozen in Europe following Moscow's invasion of Ukraine. The proposal would cover two-thirds of Ukraine's financing needs, with international partners expected to supply the remainder.

According to Qatar News Agency, under the plan, approval would require backing from at least 15 of the EU's 27 member states representing 65% of the bloc's population. The alternative option-borrowing through the EU budget-would require unanimous support, making it significantly harder to pass.

Hungary is expected to pose a major obstacle given its close ties with Moscow, while Belgium, which holds the largest share of frozen Russian assets, has raised concerns about the legal risks associated with their use. Russian President Vladimir Putin has previously warned that seizing Russia's frozen assets would destabilise the global financial system and accelerate economic fragmentation.