A senior European Union official denied that member states are discussing financial coercion to force Hungary to agree to funding for Ukraine, Sky News reports, according to UNN.
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The Financial Times reported that the EU plans to "sabotage" Hungary's economy if it blocks a further aid package for Ukraine at a summit this week.
"The document referred to in the Financial Times article is a background note written by the Council's secretariat under its own responsibility, describing the current state of the Hungarian economy," a senior EU official told Sky News.
"This is a factual document that does not reflect the state of current negotiations. The note does not set out any specific plan related to the (EU's long-term budget) and the Fund for Ukraine, nor does it set out any plan related to Hungary," the statement said.
The official added that budget negotiations are "ongoing" and "have always been based on finding a compromise" acceptable to all member states.
Hungary on Monday signaled its readiness to compromise on a way to finance the EU's proposed aid package to Ukraine from the bloc's budget ahead of an emergency summit on Thursday.