Free Trial

EU-RUSSIA: EU Ambassadors Meet On Rolling Over Sanctions, Eyes On Hungary

EU-RUSSIA

Permanent representatives to the EU are meeting in Brussels to decide on whether to roll over sanctions on Russia for another six months. Given that unanimity among member states is required to maintain the measures, there has been focus on whether the Hungarian gov't will utilise its veto. 

  • On 21 Jan, Hungarian PM Viktor Orban posted on X: "It’s time to talk about sanctions! Did they bring the war to an end? - No. [...]The time for change has come!".
  • This was seen as a signal that Hungary could block the sanctions. Added to this was a call to wait to see what the Trump administration would do. Trump's Truth Social post on 22 Jan threatening "high levels of Taxes, Tariffs, and Sanctions" on Russia if it does not end the war in Ukraine was seen as a shift in tone.
  • As such, Politico reports that according to its sources "Hungary is expected to back down from its threat to block the EU from renewing its Russia sanctions after U.S. President Donald Trump menaced Moscow with even more penalties,".
  • The article also notes if Budapest blocks sanctions the "...EU could reject [Hungary's] multi-year spending program — a crucial document setting out its expenditures path over the next four years. The plan is up for approval in February.."
  • If a decision is not made today, then a meeting of EU foreign ministers on Monday 27 Jan will be the next opportunity to reach an agreement before the 31 Jan deadline. 
248 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

Permanent representatives to the EU are meeting in Brussels to decide on whether to roll over sanctions on Russia for another six months. Given that unanimity among member states is required to maintain the measures, there has been focus on whether the Hungarian gov't will utilise its veto. 

  • On 21 Jan, Hungarian PM Viktor Orban posted on X: "It’s time to talk about sanctions! Did they bring the war to an end? - No. [...]The time for change has come!".
  • This was seen as a signal that Hungary could block the sanctions. Added to this was a call to wait to see what the Trump administration would do. Trump's Truth Social post on 22 Jan threatening "high levels of Taxes, Tariffs, and Sanctions" on Russia if it does not end the war in Ukraine was seen as a shift in tone.
  • As such, Politico reports that according to its sources "Hungary is expected to back down from its threat to block the EU from renewing its Russia sanctions after U.S. President Donald Trump menaced Moscow with even more penalties,".
  • The article also notes if Budapest blocks sanctions the "...EU could reject [Hungary's] multi-year spending program — a crucial document setting out its expenditures path over the next four years. The plan is up for approval in February.."
  • If a decision is not made today, then a meeting of EU foreign ministers on Monday 27 Jan will be the next opportunity to reach an agreement before the 31 Jan deadline.