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European Commission President Ursula von der Leyen European Commission President Ursula von der Leyen   (AFP or licensors)

EU leaders agree on 50 billion euro package for Ukraine

European Union leaders have agreed to create a 50 billion euro fund for Ukraine after getting on board Hungary's Prime Minister Viktor Orbán, who had threatened to veto the deal.

By Stefan J. Bos 

Hungarian Prime Minister Viktor Orbán, who had vowed to block 50 billion euros, some 54 billion dollars, to Ukraine, apparently changed his mind after mounting pressure, including from Polish Prime Minister Donald Tusk.

"I mean, there are definitely no problems with the so-called fatigue from Ukraine. We now have fatigue from Orbán in Brussels. We need to solve so many problems. Look at the streets not only in Brussels," he stressed, referring to farmers' protests.

"I cannot understand, cannot accept this very strange and very selfish game of Viktor Orbán. And there is no room for compromise on our principles, such as the rule of law, and of course, there is no room for compromise on the issue of Ukraine. And therefore, what we can offer Viktor Orbán, as always, is to treat him fairly, by our rules and procedures, and nothing more," the prime minister added.

Under European Union rules, all EU member states must approve the funding, but Orbán had threatened to veto the package.

He changed his position only after last-minute talks with several EU leaders, such as the Italian prime minister, Giorgia Meloni, the French president, Emmanuel Macron, and the German chancellor, Olaf Scholz.

The EU's European Commission and Council presidents, Ursula von der Leyen and Charles Michel, also clarified that they expected Hungary to vote yes.

German Chancellor Scholz said the deal sends an important message. "We agreed to give about 12 billion euros annually, for a total of 50 billion. It sends a good message to the Ukrainian people who suffer under the Russian attacks. But it was also important for us as the EU to show we are standing united. For me, it was important that all 27 member states support this," he explained.

However, Hungarian Prime Minister Orbán received EU financial and political pledges in exchange for his support for the deal.

At Orbán's request, there will be an annual report by the EU's executive European Commission on implementing the aid package, followed by a debate at the leaders' level.

And, if needed, the European Council of Prime Ministers can ask the Commission to propose a review of the new budget in two years. Orbán says the review is essential as before war broke out.

EU leaders also added a line to earlier conclusions that the way the European Commission evaluates the rule of law in Hungary is done fairly and objectively. Hungary still awaits billions in EU funding that had been frozen amid rule-of-law concerns.

Thursday's deal has increased the chances for Hungary to at least receive part of the more than 30 billion dollars it still awaits from the EU.  With money now on the way, the Ukrainian president, Volodymyr Zelenskiy, said the decision "once again proves strong EU unity."

The four-year package is designed to keep Ukraine's economy afloat, with cash for hospitals, schools, and civil servants' wages and pensions.

It comes amid mounting concerns about the hundreds of thousands of lives that are believed to have been lost in Europe's bloodiest conflict since World War Two. While Orbán reluctantly voted for the aid package, he said there is no military solution to end the war and that peace talks between Ukraine and Russia should begin as soon as possible.

He has also indicated that he may be willing to meet Ukraine's president in part to talk about improving the plight of ethnic minorities, including Hungarians, many of whom have died while fighting in Ukraine's army against Russia, which invaded the country some two years ago.

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01 February 2024, 16:51