Brussels – A crucial €90 billion aid package for Ukraine is facing a major roadblock as Hungary continues to veto both the financial assistance and a new set of sanctions against Russia, coinciding with the fourth anniversary of Russia’s full-scale invasion. The move, described by EU leaders as “political sabotage,” throws Ukraine’s financial future into uncertainty as Kyiv struggles to sustain its war effort and peace talks with Russia.
The Hungarian government, led by Prime Minister Viktor Orbán, is demanding the resumption of Russian oil flows through the Druzhba pipeline as a condition for lifting its veto. Hungary and Slovakia have accused Ukraine of deliberately halting oil shipments, a claim Kyiv rejects, attributing the disruption to damage caused by Russian strikes on energy infrastructure. This dispute comes as Ukraine’s financial reserves are expected to dwindle significantly from April, making the EU aid package vital for its continued operation. The situation is further complicated by Hungary’s recent suspension of diesel shipments to Ukraine until oil flows through the Druzhba pipeline are restored, according to the Independent.
Hungary’s Demands and Accusations
Hungarian Foreign Minister Péter Szijjártó accused Ukraine of “blackmailing” Hungary by halting oil shipments, stating his government “will not give in to this blackmail.” He further asserted that Hungary will not support Ukraine’s war effort financially. “We will not pay for it,” Szijjártó said in a video posted on social media. “As long as Ukraine blocks the resumption of oil supplies to Hungary, Hungary will block European Union decisions that are important and favorable for Ukraine.”
The timing of Hungary’s veto is particularly sensitive, falling on the fourth anniversary of Russia’s invasion of Ukraine on February 24, 2022. The EU had been poised to approve the €90 billion loan – equivalent to approximately $106 billion – ahead of this anniversary, but Hungary’s actions have stalled the process. According to Politico, Hungary’s ambassador to the EU requested the standard eight weeks for its national assembly to scrutinize the EU legislation, a move seen as a delaying tactic.
Broader Political Context
Orbán’s stance is widely seen as linked to upcoming elections in Hungary, where he risks losing power after more than 15 years. Analysts suggest he is attempting to weaponize anti-Ukraine sentiment to rally support. The BBC reports that Orbán has a more comfortable relationship with Russian President Vladimir Putin than with Ukrainian President Volodymyr Zelenskyy, and was the first Western leader to meet with Putin since April 2022.
This isn’t the first instance of Hungary obstructing EU support for Ukraine. In December, Hungary blocked a €50 billion EU funding package for Ukraine, though it later allowed Ukraine and Moldova to begin formal negotiations on joining the EU by abstaining from the vote. However, Orbán declared this a “lousy decision” that Hungary could halt at any time.
Slovakia’s Parallel Dispute
The oil pipeline dispute extends beyond Hungary. Slovakia has also halted emergency power supplies to Ukraine, citing the same issue of interrupted Russian oil shipments through the Druzhba pipeline, Al Jazeera reports. Both Hungary and Slovakia, which have exemptions from the EU’s ban on Russian oil imports, claim Ukraine is intentionally disrupting supplies.
Despite Hungary’s veto, the EU is exploring ways to circumvent the obstruction and deliver the €90 billion loan to Ukraine. According to Politico, EU officials have vowed to “find a way” to proceed, though the specific mechanisms remain unclear.
What’s Next?
The immediate future of EU aid to Ukraine remains uncertain. EU leaders are expected to continue negotiations with Hungary in an attempt to reach a compromise. However, Orbán’s firm stance and the upcoming elections in Hungary suggest a resolution may be difficult to achieve quickly. The situation underscores the challenges of maintaining unity within the EU in the face of the ongoing conflict in Ukraine and the complex geopolitical interests at play. The coming weeks will be critical in determining whether Ukraine will receive the financial support it urgently needs.
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