In a determined move, Ursula von der Leyen, President of the European Commission, has assured that the European Union will find a way to approve the €50-billion special fund for Ukraine, even if Hungary continues to block it. The allocation is essential to provide financial support to Ukraine until 2027 and address the country's growing public deficit.

The approval process for the Ukraine Facility has hit a roadblock due to Hungary's veto, leaving Brussels without any funds to assist the war-torn nation. Following a summit in mid-December, where Hungarian Prime Minister Viktor Orbán carried out his threat of derailing the unanimous vote, EU leaders are set to reconvene on 1 February for a second attempt.

Speaking at the World Economic Forum in Davos, Switzerland, von der Leyen emphasized the importance of engaging with all 27 EU member states to secure the €50 billion for Ukraine. She stated, "This is the phase we're in right now. It's the preparation for the extraordinary European Council on the 1st of February. It's hard work. We have discussed many different issues."

Hungary has put forward two demands in exchange for lifting the veto. They suggest dividing the Facility into four annual tranches, enabling Orbán to block the funds at a later stage, and extending the deadline to spend COVID-19 recovery funds, giving Budapest more time to access the frozen money.

While von der Leyen did not comment on these requests, she made it clear that the EU would find a way to approve the €50-billion fund, irrespective of Hungary's support. Although the EU has not publicly outlined an alternative plan, von der Leyen's statements indicate that work is ongoing to avoid a recurrence of the December veto. The Financial Times previously reported that an alternative solution was being crafted, involving the Commission borrowing €20 billion from financial markets.

During a meeting with Ukrainian President Volodymyr Zelenskyy, von der Leyen assured him of the EU's commitment to "securing the means to recover, rebuild and reform" through the proposed Facility. Zelenskyy expressed his hope for a consensus on the issue at the upcoming summit.

In her speech at the World Economic Forum, von der Leyen underscored the urgent need to provide Ukraine with "predictable financing throughout 2024 and beyond." This necessity has become even more apparent due to the legislative deadlock in Washington, where Republicans are obstructing fresh funding. Von der Leyen emphasized that Ukraine's fight for a better future is closely tied to Europe.

As the EU gears up for the crucial February summit, it is evident that efforts are being made to ensure the approval of the €50-billion Ukraine Fund. The impact of this decision extends beyond financial aid, as it symbolizes the unwavering support of the European Union for Ukraine's path towards stability and prosperity.