The leaders of 27 EU member states are gathering Thursday in Brussels for a high-stakes European Council summit for two days, with the controversial proposal to use frozen Russian assets to fund a loan to Ukraine expected to top the agenda.
Leaders are expected to hold strategic discussions on Ukraine, the next multiannual financial framework, enlargement and the bloc's geo-economic situation, while developments in the Middle East, European defense and migration will also be on the agenda.
They will address how to provide financial support to Ukraine, security guarantees and diplomatic efforts to achieve peace, while taking stock of progress on the EU's next long-term budget for 2028-2034.
Leaders will also debate how the EU can best defend itself against external economic and political pressures, accelerate its trade agenda and strengthen strategic autonomy and competitiveness.
The summit is being closely watched as leaders are expected to discuss the way forward for the proposed reparations loan for Ukraine, nearly a week after the bloc moved to "indefinitely immobilize" Russian assets.
On Tuesday, the European Parliament agreed to fast-track draft legislation on the loan, paving the way for a vote at a January plenary session.
Under the proposal, the European Commission would raise funds for Ukraine by borrowing against profits and cash balances generated by immobilized Russian state assets.
Following Tuesday's decision, parliament is expected to adopt its position on the proposal during its next plenary session, scheduled for Jan. 19 - 22, ahead of negotiations with EU member states.
If EU heads of state and government endorse the proposal at the summit, the European Parliament could give its final approval at the January plenary.
About €210 billion ($246 billion) in Russian assets are frozen in the EU, and the bloc proposes using the funds to support Ukraine. But most of the frozen assets are held by the Belgian bank Euroclear, and Belgium has repeatedly raised concerns about the plan.
