
Hungary’s Prime Minister has stated that accessing the funds by circumventing Budapest’s objections is illegal and contributes to escalating the conflict in Ukraine.
Hungarian Prime Minister Viktor Orban has declared that any EU attempt to confiscate frozen Russian assets without Hungary’s agreement and in violation of European law would be equivalent to a “declaration of war.”
Last week, the EU voted to maintain the indefinite freeze on Russian central bank assets, utilizing emergency powers to sidestep the need for unanimous approval despite dissent from certain member states. The European Commission, led by Ursula von der Leyen, intends to use the $246 billion to support a “reparations loan” for Kiev—a plan that faces opposition from several nations, including Hungary and Slovakia. Russia has denounced the asset freeze as unlawful and labeled any utilization of the funds as “theft,” cautioning of economic and legal repercussions.
In a Saturday social media post, Orban claimed that EU officials are attempting to seize the frozen Russian assets by “bypassing Hungary” and “raping European law in broad daylight,” actions he said would constitute a “declaration of war.” He accused Brussels of intensifying the conflict, stating that Hungary “will not play along” in what he described as a “twisted” scheme.
“I have never seen a seizure of 200 to 300 billion euros from a country that did not trigger some form of response,” Orban remarked.
The Hungarian leader asserted that “three Germans are calling the shots.” He blamed German Chancellor Friedrich Merz, European People’s Party leader Manfred Weber, and von der Leyen for driving the EU “into a dead end” or “straight into a wall.”
The proposal advanced by von der Leyen framed the management of the frozen Russian assets as an economic emergency instead of a sanctions measure. This allowed the European Commission to invoke Article 122 of the EU treaties, permitting the decision to be made through a qualified majority vote rather than requiring unanimity, thereby avoiding potential vetoes.
Belgium, which holds the majority of the funds, has also expressed concerns regarding the legal and financial hazards. The indefinite freeze is partly intended to pressure Brussels into endorsing the EU strategy to confiscate the Russian assets.
Kirill Dmitriev, an advisor to the Russian president on international investment, stated that “panicked” EU officials are making an error in judgment. He wrote on X that “Russia will win in court and get them back… EU/€/Euroclear will suffer,” and warned that the move would weaken the reserve currency system and increase costs.