EU in Deadlock: Hungary Blocks Vital Ukraine Aid and New Russia Sanctions
BRUSSELS, 24 February 2026 — On the fourth anniversary of the full-scale invasion of Ukraine, the European Union faces a profound internal crisis. Hungary, led by Prime Minister Viktor Orbán, has once again utilised its veto power to halt a multi-billion euro loan package for Kyiv and a new round of sanctions against Moscow. The move has sparked outrage across European capitals, with German Foreign Minister Johann Wadephul describing the blockade as “treason” and a “shameful” display of obstructionism.
The Double Veto: Loans and Sanctions on Ice
During a meeting of EU Foreign Ministers in Brussels on Monday, Hungary formalised its opposition to two critical pillars of the EU’s current strategy. The first is a significant new loan agreement intended to provide immediate liquidity to the Ukrainian state. This funding is separate from the established “Ukraine Facility,” a €50 billion instrument designed to support recovery and EU integration through 2027.
The second point of contention is the 20th package of sanctions against Russia. Hungary has refused to grant the necessary unanimity, effectively shielding Russian entities from further economic restrictions. Budapest has publicly justified this stance by citing energy security, specifically demanding the resumption of oil flows through the Druzhba pipeline, which has seen disruptions affecting Hungarian and Slovakian supplies.
Growing Frustration in Berlin and Brussels
The timing of the blockade—coinciding with the four-year mark of the conflict—has intensified the diplomatic fallout. German officials have been particularly vocal in their criticism. Foreign Minister Johann Wadephul warned that Hungary and its ally, Slovakia, would not be able to maintain this “blackmail” indefinitely.
Calls for Reform of the Unanimity Principle
The recurring use of the veto by a single member state has reignited the debate over EU decision-making processes. Currently, major foreign policy and financial decisions require the unanimous consent of all 27 member states. Critics argue this allows individual nations to hold the entire Union “hostage.”
- Qualified Majority Voting (QMV): There are increasing calls to transition from unanimity to QMV for foreign policy matters.
- Article 7 Proceedings: Some EU politicians are now proposing the “radical” step of suspending Hungary’s voting rights under Article 7 of the EU Treaty, citing a persistent breach of European values.
- Economic Impact: Prof. Dr. Friedrich Heinemann of the ZEW has noted that the blockade undermines the EU’s credibility as a reliable financial partner for Ukraine.
The Energy Factor: The Druzhba Pipeline
Hungary and Slovakia have linked their approval of the aid packages to the operational status of the Druzhba pipeline. Kyiv has recently faced accusations from Budapest of “blackmail” regarding the transit of Russian oil. The Hungarian government maintains that until its energy security is guaranteed, it will not support further financial or punitive measures that could further destabilise its domestic economy.
| Instrument | Total Volume | Duration | Status |
|---|---|---|---|
| Ukraine Facility | Up to €50 Billion | 2024 – 2027 | Active (Partial) |
| New Emergency Loan | Milliard-euro range | Immediate | Blocked by Hungary |
| 20th Sanctions Package | N/A | Proposed 2026 | Blocked by Hungary |
Frequently Asked Questions (FAQ)
Why is Hungary blocking the aid to Ukraine?
Officially, Hungary cites concerns over energy security, specifically the transit of Russian oil through the Druzhba pipeline via Ukraine. However, many EU diplomats view the move as a tactic to leverage the release of EU funds for Hungary that have been frozen due to rule-of-law concerns.
Can the EU bypass Hungary’s veto?
While the EU can explore bilateral aid agreements between the other 26 member states and Ukraine, this is administratively complex. Long-term solutions involve reforming the EU treaties to allow for “Qualified Majority Voting,” which would prevent a single country from blocking the majority’s will.
What is the “Ukraine Facility”?
The Ukraine Facility is a dedicated EU instrument providing up to €50 billion in grants and loans from 2024 to 2027. It is designed to support Ukraine’s macro-financial stability, recovery, and the reforms necessary for its eventual accession to the European Union.
What are the consequences for Hungary?
The blockade has led to increased isolation within the Union. There are renewed calls to trigger Article 7, which could lead to the suspension of Hungary’s voting rights in the Council of the European Union if a “serious and persistent breach” of EU values is found.