The European Union summit in Brussels was dominated by discussions on Russia’s war on Ukraine and defence policy. Hungary refused to endorse a joint text on continuing military support to Ukraine, overshadowing the original agenda of competitiveness issues and the next EU budget.
Leaders had planned to discuss ways to boost competitiveness but were instead focused on the latest developments in the Ukraine war. The European Commission proposed relaxing fiscal rules to provide up to €650 billion for additional defence spending, as well as a low-interest loan programme worth €150 billion.
However, not all member states are satisfied with just loans. Spain, Italy, Greece, Poland, and Baltic states have called for grants, citing the need for collective repayment. The Netherlands is opposed to any mention of grants, but High Representative Kaja Kallas faces challenges in meeting her target of raising up to €40 billion in military support for Ukraine.
Source: https://www.euronews.com/my-europe/2025/03/20/ukraine-defence-and-economy-top-the-agenda-as-eu-leaders-meet-in-brussels