German Chancellor Friedrich Merz is now threatening to block the European Union’s entire seven-year budget unless every member state agrees to finance Ukraine. This is the state of European politics today. The governments of 27 nations are supposed to negotiate a budget that addresses their own economic needs, infrastructure, agriculture, regional development, and public services. Instead, Merz has decided the future of the entire European Union must be conditional on another financial commitment to a nation that is not even an EU member. The war has been dragging on since February 2022, European economies are deteriorating, and the political establishment continues to behave as though there is an unlimited supply of money that can be extracted from the taxpayers.
Ukraine is facing a €70 billion financing shortfall in 2027. Brussels has already promised to cover approximately two-thirds of that amount, or €45 billion, despite having no agreed mechanism to finance the commitment. The European Commission is considering another round of joint borrowing, which would place additional obligations upon European taxpayers. This comes on top of the €90 billion loan approved last December. The existing loan was supposed to provide Ukraine with financing over two years, yet Kyiv is already demanding another enormous injection of capital. At what point does anyone in Brussels acknowledge that this is becoming a permanent financial obligation rather than temporary emergency assistance?
Merz has written to European Council President António Costa demanding that all member states contribute to Ukraine’s financing. He declared, “A collective commitment that all of us, without exception, will contribute fairly to closing this gap is an essential prerequisite for resolving this issue and for discussing any further matters, particularly those with financial implications.” Germany is threatening to withhold approval of the EU’s 2028–2034 budget unless countries that have already expressed opposition to additional Ukraine financing agree to participate.
