EU’s Kallas Backs Frozen Russian Assets for Ukraine, Warns of Escalating Hybrid Attacks
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At the informal European Council meeting in Copenhagen on October 1, 2025, EU High Representative for Foreign Affairs and Security Policy Kaja Kallas set out a clear message: Europe must step up on defense cooperation, sanctions, and financial support for Ukraine.
Kallas said two central issues dominate discussions: defense policy and Ukraine. She stressed that the EU has already created multiple financial instruments and is now working on a roadmap to nudge member states into closer cooperation on defense projects, ensuring they meet NATO capability targets.
On Ukraine, Kallas underlined Europe’s determination to push for peace and a ceasefire, but warned that pressure on Russia must continue. She confirmed that the EU has adopted its 19th sanctions package and is actively discussing a reparations loan funded by frozen Russian assets. This would ensure that Ukraine can continue to defend itself, while also laying a legal foundation for Russia to pay for the damage it has caused.
Kallas explained the principle: if Russia pays reparations after the war, the frozen assets will be returned; if not, the assets will cover Ukraine’s reconstruction. “If we don’t take those assets into account, then it’s on our taxpayers,” she said firmly, adding that international law already establishes the principle that aggressors must pay for the damage they cause.
The EU’s top diplomat acknowledged that not all member states support the reparations loan yet, meaning more negotiations lie ahead. She rejected concerns about investor confidence, saying simply: “If you don’t start the war against another country, then you are out of the risk.”
Kallas also addressed Russia’s increasingly aggressive tactics across Europe. While she refrained from attributing specific incidents without evidence, she pointed to the pattern of hybrid attacks and incursions, quoting NATO Secretary General Mark Rutte who called them “state-sponsored terrorism.”
Drone defense also featured prominently. Kallas said Denmark and other EU states must strengthen their capacity to defend against drone threats, though she did not outline specific systems.
Her message was blunt: Europe must develop new legal frameworks, strengthen collective defense, and ensure that Russia—not European taxpayers—pays for the destruction in Ukraine.
The Copenhagen meeting marks a pivotal moment as EU leaders debate security, migration, and the future of Europe’s defense strategy, under the shadow of continued Russian escalation.
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