Denmark Says Ukraine Has ‘Run Out of Money’ as EU Splits Over Using Russia’s Frozen Assets
Denmark’s prime minister says Ukraine can no longer buy or produce what it needs and calls Russia’s frozen assets the most obvious new funding source, while Belgium’s leader opposes using those reserves now under current EU rules.
Europe’s pledge to keep backing Ukraine is running into a harder question: how to pay for a long war when Kyiv’s own finances are under severe strain and EU governments disagree over tapping frozen Russian assets.
Denmark’s Prime Minister Mette Frederiksen has warned that Ukraine is running out of money and, in her words, that this “has already happened.” She said Ukraine cannot buy what it needs or produce what it needs and argued that Russia’s frozen assets are the most obvious source of additional funding. For Frederiksen, Moscow should be made to pay for the damage it is inflicting on Ukraine and Europe.
Her comments highlight how dependent Ukraine has become on outside support to fund its budget, pay salaries and repair damaged infrastructure, alongside military aid.
Belgian Prime Minister Bart De Wever is taking a very different line. He says he remains firmly opposed to using Russia’s frozen central bank assets now. De Wever argues that such reserves have historically remained untouched during wars and later formed part of peace arrangements. Asked about proposals to use them in this case, he replied: “Do I want to talk about it? No, I don’t.” He also points out that current EU rules do not allow outright seizure.
This split reflects a broader dilemma. Some EU leaders see frozen Russian assets as a legitimate pool to support Ukraine and reconstruction. Others worry that seizing central bank reserves during an ongoing conflict could damage confidence in Europe’s financial system and the euro.
At the same time, top EU officials are trying to show unity over pressure on Moscow. European Commission President Ursula von der Leyen has said the EU supported an energy ceasefire initiative associated with Trump but that Russia “did not respect it, not for a single minute” and instead escalated. She stated that the EU will not lift any sanctions unless Russia ends the war. European Council President António Costa has said this is no time to withdraw support from Ukraine or ease sanctions.
Dutch Prime Minister Rob Jetten has added that he is not satisfied with how many countries are ready to increase financial support for Ukraine, even as some prepare more military aid, particularly for air defense.
For Ukrainians, these arguments translate into whether their government can keep basic services running while it continues fighting. For European governments, they shape how much more their taxpayers might be asked to contribute, and for how long.
Key developments to watch include whether EU capitals can agree on a legal mechanism to use income from frozen Russian assets, how quickly new multi‑year financial packages for Ukraine are approved and whether political resistance to long‑term funding grows in larger member states.
Sources
- OSINT