EU braced for no deal on €90B Ukraine loan as Orbán refuses to budge – POLITICO

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According to one of the diplomats, European Council President António Costa blasted Orbán’s behavior as “unacceptable” and a breach of the terms of cooperation that underpin the EU. Costa pointed out that no leader has ever violated “this red line before.”

A second diplomat said the level of frustration with Orbán was unprecedented, but— with his Fidesz party trailing in the polls ahead of an April 12 election — few leaders wanted to be dragged into Hungarian domestic politics.

Orbán responded to the criticism by insisting that his veto was legal, while Fico insisted his country is paying the price for the loss of discounted Russian fuel.

Leaders of the other 25 EU countries have issued a joint statement welcoming the decision to loan the €90 billion and calling for “the first disbursement to Ukraine by the beginning of April.”

While they will revisit the question of energy prices later Thursday, diplomats have played down the prospect of a deal being done to overcome the veto.

Carrot and stick

The EU had hoped that Orbán could be persuaded to honor the deal he agreed to at the December summit and lift his veto, according to an EU official and a diplomat.