A growing disagreement has emerged within the European Union after the prime ministers of the Czech Republic and Slovakia opposed German Chancellor Friedrich Merz’s proposal calling on all EU member states to contribute towards covering Ukraine’s projected budget deficit.

Czech Prime Minister Andrej Babiš and Slovak Prime Minister Robert Fico expressed their objections during a joint meeting of the Czech and Slovak governments in Bratislava.

The disagreement highlights differences among European leaders over how Ukraine should receive financial assistance and how the burden of supporting Kyiv should be distributed among EU member states.

Germany Calls for Shared Financial Responsibility

German Chancellor Friedrich Merz has urged all European Union countries to participate in financing Ukraine’s future financial requirements.

In a letter to European Council President António Costa, Merz argued that every EU member should contribute fairly towards addressing Ukraine’s expected funding shortage.

According to estimates discussed by European leaders, Ukraine could face a budget shortfall of approximately 70 billion euros in 2027.

The European Union is expected to contribute around 45 billion euros towards covering that gap, although the precise funding arrangements remain under discussion.

Merz has also linked agreement on Ukraine’s financial support to negotiations over the EU’s next long-term budget, covering the 2028–2034 period.

Slovakia Rejects Germany’s Approach

Slovak Prime Minister Robert Fico strongly criticised the German proposal, describing Merz’s approach as political pressure on other EU members.

Fico argued that Slovakia has the same voting and veto rights as Germany and should be able to make independent decisions regarding its financial commitments.

He also reiterated Slovakia’s position against participating in another financial loan arrangement for Ukraine.

His comments reflect Bratislava’s continuing opposition to additional financial and military assistance to Kyiv.

Czech Republic Raises Concerns Over EU Budget Negotiations

Czech Prime Minister Andrej Babiš also questioned the German proposal during the joint government meeting.

Babiš pointed out that the proposed European Union budget already includes financial provisions for Ukraine.

He warned that blocking negotiations over the broader EU budget could also prevent the release of funds intended for Ukraine.

The Czech leader additionally called for European countries to have a stronger role in negotiations aimed at ending the Russia-Ukraine war.

He argued that the European Union should appoint its own representatives to participate in peace discussions rather than leaving negotiations primarily to the United States.

Ukraine Faces a Major Financial Challenge

Ukraine continues to depend on international financial assistance to maintain government operations and support essential public services during the ongoing war with Russia.

The estimated 70-billion-euro funding gap for 2027 represents a significant challenge for Kyiv.

Financial assistance is needed to support public-sector salaries, social programmes, government administration and other essential expenditure.

European leaders are now discussing different ways to arrange the necessary funding, including potential joint borrowing and other financial mechanisms.

However, disagreements over contributions and exemptions have complicated the process.

Previous Financial Exemptions Create Further Differences

The Czech Republic, Slovakia and Hungary previously secured exemptions from financial guarantees connected with a 90-billion-euro EU loan for Ukraine.

These countries have also indicated that they do not intend to participate in another financial assistance arrangement.

Bulgaria has similarly expressed reservations about providing additional funding.

Their positions have created a challenge for Germany and other European governments seeking a common financial commitment from all EU members.

European Union Faces a Difficult Political Decision

The disagreement comes at a sensitive moment as EU leaders prepare to discuss the bloc’s future financial priorities.

Germany argues that supporting Ukraine is a shared European security responsibility and that all member states should contribute.

Meanwhile, governments opposing additional financial commitments maintain that national interests, existing budget pressures and the structure of EU financial arrangements must be considered.

The disagreement also raises questions about how the EU will balance support for Ukraine with other priorities, including agricultural funding, regional development and economic competitiveness.

What Happens Next?

European leaders are expected to continue discussions about Ukraine’s financial requirements and the EU’s long-term budget.

The outcome will depend on whether member states can reach an acceptable compromise over financial contributions, borrowing arrangements and possible exemptions.

For Ukraine, securing sufficient funding remains essential to maintaining economic stability and continuing government operations.

For the European Union, the debate represents another test of its ability to maintain a common position on one of Europe’s most important security and financial challenges.

The latest disagreement between Berlin, Prague and Bratislava demonstrates that although European countries share concerns about the war in Ukraine, they do not necessarily agree on how its financial consequences should be managed.