EU Stands Firm Against Orban's Resistance: Von der Leyen Asserts Alternatives Amid Budget Dispute

Following the Brussels summit, President of the European Commission, Ursula von der Leyen, affirmed that the Commission won't yield to Hungary's demands and will explore alternatives should an agreement on the budget fail to materialize. Orban's opposition regarding the EU's budget remains a sticking point, particularly concerning a €50 billion allocation for Ukraine.

While European leaders navigated Hungary's resistance to commence talks for Ukraine's membership, Prime Minister Orban's insistence on increasing the EU budget by €66 billion—€50 billion earmarked for Ukraine—remains unresolved.

Von der Leyen clarified that any access to Hungary's remaining €21 billion in frozen recovery plan and cohesion funds hinges on Budapest fulfilling set conditions, akin to other member states' compliance.

Acknowledging Hungary's partial fulfillment of conditions for cohesion fund access post-judicial reforms, von der Leyen highlighted Budapest's outstanding reforms tied to the recovery plan and rule-of-law criteria.

Highlighting Hungary's 27 conditions for EU funding—five currently met—Von der Leyen stressed that reforms accompany investments, reiterating a uniform approach across member states.

Expressing readiness to explore backup options if Hungary's budgetary veto persists, Von der Leyen suggested intergovernmental agreements and alternative fund division over years as potential solutions.

Von der Leyen clarified that the €50 billion for Ukraine spans the next four years, with an upcoming €1.5 billion tranche to aid Ukraine's initial 2024 needs, affording more time for resolution.

European leaders plan an extraordinary meeting post-New Year to address the budget deadlock, aiming for resolution in late January or early February.

Additionally, discussions on the Middle East's situation at the summit lacked consensus on advocating for a new ceasefire. EU's Foreign Policy Chief Josep Borrell is tasked with preparing sanctions against Israeli settlers involved in Gaza violence, set for presentation and approval next year, affecting individual Israeli citizens' EU entry.

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