Mitsotakis highlights Europe’s ‘360-degree’ defence vision, which has always been a permanent Greek position
Prime Minister Kyriakos Mitsotakis on Thursday expressed his satisfaction with the inclusion in the European Council conclusions of Greek initiatives relating to a common European defence, whether they concern the overall defence coverage of European territory or specific projects such as the European anti-missile shield, as he arrived for the European Council in Brussels.
PM’s office, Dendias at odds over Tomb of the Unknown Soldier
A new disagreement emerged Thursday between Defense Minister Nikos Dendias and the Prime Minister’s Office over who is responsible for cleaning the area around the Tomb of the Unknown Soldier. Dendias, acknowledging “shared responsibilities” with the City of Athens, invited Mayor Haris Doukas to the ministry to discuss the issue. His move contrasted with Prime Minister Kyriakos Mitsotakis’ remarks in Parliament, where he said the city was responsible for the site’s cleanliness and accused Doukas of “playing politics.”
https://www.ekathimerini.com/politics/1284747/pms-office-dendias-at-odds
Fraud, fear alleged at OPEKEPE
A former senior official at Greece’s troubled farm subsidies agency (OPEKEPE) described pressure, threats and what she called “systematic fraud” involving “circular leases” during testimony before Parliament’s inquiry committee on the agency’s scandal. Paraskevi Tycheropoulou, former head of Direct Payments at OPEKEPE and now a scientific associate of the European Public Prosecutor’s Office, spoke for two hours, responding to accusations made by previous witnesses. She detailed findings from her audits and the retaliation she said she faced.
https://www.ekathimerini.com/economy/1284736/fraud-fear-alleged-at-opekepe
Toxicology report awaited in probe of teen’s death outside Gazi nightclub
The sudden death of a 16-year-old girl outside a nightclub in Gazi was caused by pulmonary edema, according to preliminary forensic examination. However, toxicological and histological tests are pending to determine whether alcohol or other substances were involved or if the death was due to underlying health issues.
ATHEX: Bourse posts gains for a fourth day
The absence of any underlying trends at the Greek stock market dominated Thursday’s session, with traders focusing on the individual features and developments for each stock ahead of making any moves. Even so, the benchmark managed to end in the black for a fourth day in a row, with its small gains mainly coming from non-bank blue chips. For example, water companies benefit from talk of an increase in water charges, while OPAP (down 1.19%) is expected to abandon its high-dividend policy after merging with Allwyn.
https://www.ekathimerini.com/economy/1284753/athex-bourse-posts-gains-for-a-fourth-day
KATHIMERINI: The ban regarding the sale of alcohol to minors remains inactive
TA NEA: Inheritance legislation: The final changes
EFIMERIDA TON SYNTAKTON: OPEKE scandal: Organization executive Tyheropoulou reveals corruption cases
RIZOSPASTIS: Hands down from the educational rights of simple folks’ children!
KONTRA NEWS: The oil rally is crushing the economy
DIMOKRATIA: The country is collapsing while the government is being torn apart
NAFTEMPORIKI: 4 billion is being lost due to livestock pox and plague
DRIVING THE DAY: DE WEVER HOLDS OUT
BELGIUM’S DE WEVER IS NOT FOR WAVERING: Forget Viktor Orbán. The spoiler at last night’s gathering of EU leaders in Brussels turned out to be Belgian Prime Minister Bart De Wever, who dug in his heels against using Russian frozen assets to help Ukraine.
Nee: The Flemish nationalist PM, who’s repeatedly laid out his objections to the loan, refused to endorse a leaders’ statement that would have given a preliminary, political green light to the idea of using €140 billion in frozen Russian assets as the basis for a “reparation loan” for Ukraine.
Fail: Instead, De Wever demanded watered down language in the Council conclusions that scrubbed any reference to the reparation loan. The final version simply states that leaders commit to addressing Ukraine’s “pressing needs” and “invite the Commission to present, as soon as possible, options for financial support” for Ukraine.
Why it matters: The reparation loan is Ukraine’s best bet to keep financially afloat next year amid an escalating Russian campaign against civilian targets. Despite announcing sanctions, the United States is not pledging any new financial support. And Ukrainian President Volodymyr Zelenskyy, who addressed reporters during the summit, said that without a fresh injection of cash Kyiv would likely run into serious financial hardship next year.
Speaking to POLITICO, an EU diplomat acknowledged the impasse: “Nobody wants to be seen to be responsible for Ukraine running out of money — but there’s nothing [agreed] yet to actually send them any money.” The Commission has no choice but to keep consulting with national capitals, namely Brussels, to try to strike a deal at the next summit on Dec. 19.
Putin trolls summit: Adding to the sense of urgency, Lithuania’s president denounced a violation of his country’s airspace by Russian planes just before leaders were about to tuck in for langoustine and filet veal during a working dinner. “We have to react to this,” Gitanas Nausėda said in a short video posted to X.
How did this happen? It’s hard to understand how the Commission and Council could have flubbed the summit stagecraft so badly. As Tim Ross writes in this account, the Commission had months to assuage Belgian concerns about getting sued by Russia over the assets, which are held in Brussels-based Euroclear. It’s not as if De Wever is hard to get ahold of — his office is down the road from the Berlaymont.
It’s gonna be great! Yet on the day of the summit, EU leaders failed to manage expectations about the possibility of a Belgian blockage. As leaders were pulling up to the Justus Lipsius building, European Council President António Costa gleefully told reporters, standing alongside Zelenskyy, that they would be taking a “political decision” during the summit to free up the loan.
That’s not how things panned out. According to diplomats at the summit, the reason likely comes down to the fact De Wever and his aides felt the Commission had failed to fully take their concerns into account, including causing offense by circulating a reparations loan plan to capitals before they had run it by authorities in Brussels.
The domestic angle: De Wever may also have been acting on domestic concerns, with his coalition on thin ice over finances. Belgium’s government has been stuck in marathon talks to agree a budget — so far without a deal — against a backdrop of protests against its plan to cut spending. “Just imagine having to pay out €180 billion plus damages next year or in two years. That’s completely insane,” De Wever said.
“A bad boy! Me?” De Wever said, referencing his starring role in POLITICO’s list of the EUCO summit bad boys. “If you talk about the immobilized assets, we’re the very very best.”
Norway to the rescue? As Gregorio Sorgi, Camille Gijs, Jacopo Barigazzi and Hanne Cokelaere explain here, a big part of the problem is coming up with enough funds to guarantee the loan. On this score, Danish Prime Minister Mette Frederiksen suggested oil-rich Norway, though not a member of the EU, could provide the necessary backing. “That would be great,” she said when asked about possible Oslo support. But no such aid is forthcoming for now.
The bottom line: Ukraine’s financial needs are likely to be met before they get too dire. French President Emmanuel Macron said at a closing press conference that the idea “hasn’t been buried.” But at this summit, De Wever was determined not to get steamrolled by bigger powers. Perhaps he’d been re-reading his Julius Caesar, who wrote: “Of all the Gauls, the strongest are the Belgians.”
LISTEN UP — HOW ABOUT THEM ASSETS? This week’s episode of the EU Confidential podcast has full explainer on the debate about using the frozen assets from Gregorio Sorgi. (What even is Euroclear, anyway?) Plus, late-night impressions from the Council lobby from Gabriel Gavin, Zia Weise, Tim Ross and yours truly. Listen and subscribe to EU Confidential.
CLIMATE FLUB
POLAND, GREECE ARGUE — EU TOO BROKE TO BE GREEN: The other big story of the EUCO was climate, with Greek Prime Minister Kyriakos Mitsotakis telling Gabriel Gavin ahead of the summit that the EU needed to balance its push for decarbonization against the need to bolster competitiveness.
Freaked out: “I’ve been very, very clear — the green transition cannot be an end in itself,” Mitsotakis said in an exclusive interview. “I hate to put a figure on it but the last 10, 15 or 20 percent of the green transition is, right now, frighteningly expensive and we don’t even have the technologies to actually drive that figure through.”
Tusk exults: As talks on the EU’s climate agenda were wrapping up, Polish Prime Minister Donald Tusk emerged from the leaders’ meeting room to say he was “more happy than tired.” He was touting a “revision clause” in the EU’s plan to extend its carbon trading system to heating and transport. “We’ve defused a threat to Polish families and drivers,” he said.
But as Zia Weise and Louise Guillot write, the final wording accepted by leaders did not demand specific changes to climate legislation.
Gone till November: Thursday’s debate centered on how to align the EU’s climate goals with economic priorities, and was meant to resolve a deadlock over the bloc’s new emissions-cutting target for 2040. Yet the text leaders agreed is vague and stops short of endorsing the 2040 goal. They may just have “delayed the crisis” to a new meeting on Nov. 4, a diplomat said.
THE REST OF EUCO
MERZ MAKES A MESS: German Chancellor Friedrich Merz announced after the summit that all EU leaders had voted in favor of signing the controversial Mercosur trade deal. That triggered quite the clarification from António Costa, who said he’d only asked EU leaders to speak with their ambassadors to resolve final translation issues with the agreement. “But that was it. We didn’t discuss it. We didn’t make any decisions,” the European Council president said.
MERZ LASHES OUT OVER EU PARLIAMENT REJECTION ON RED TAPE: Another growing headache for EU leaders is the fact that European Parliament isn’t cooperating with their plans to slash red tape in a series of simplification bills, which were rejected earlier this week.
How do you really feel? Leaders were furious over the setback, with Merz — who along with 18 other leaders called this week for a “cultural change” in EU regulation — labeling the vote “unacceptable.” The decision was “a fatal mistake and must be corrected,” Merz added.
Speaking at EUCO, Roberta Metsola said she believes the Parliament will find a way to reach agreement on key issues, even if it involves a break with the traditional ways of working.
Thinking outside the center: “Majorities are always strongest from the center out,” the Parliament president said. “But if this is not possible, I know that this House will deliver regardless. Especially because the prime ministers around the table were unanimous in saying that this needs to happen.”
Back it up: The Parliament’s major centrist groups — the European People’s Party (of Ursula von der Leyen and Metsola herself), Renew and the Socialists and Democrats — had agreed to back the red tape proposal. But in a secret ballot, a number of Socialist MEPs rebelled and voted against the deal.
Reality check: Metsola conceded centrists may no longer be able to pass legislation and may have to team up with right-wing and far-right parties. More on that here.
NOW READ THIS: 29 things to know about last night’s EUCO summit, brought to you by Seb Starcevic.
SANCTIONS DIGEST
IRONY DETECTED: Who said the European Commission doesn’t have a sense of humor — or at least an eye for irony? In its 19th package of sanctions against Russia, Brussels is targeting Nikita Anisimo, a Russian university rector who offers a degree in … sanctions evasion.
A senior EU official said: “We thought it would be a good idea to sanction the rector of this university so that he can have the opportunity to share his own experience with students.”
Who else? Brussels is also targeting Ilya Sorokin, known as “Dr Evil” for torturing Ukrainian POWs, as well as 11 new people involved in abducting and indoctrinating Ukrainian children. More here.
LUKOIL NEXT: The senior official also flagged that the EU was looking to “disentangle” itself from Russian energy firm Lukoil, which was sanctioned by the U.S. this week but not included in the EU package. The official said Brussels was “working towards” a transaction ban with Lukoil, but explained the company — which is privately owned, unliked sanctioned Rosneft and Gazprom — maintains an extensive presence in Europe including refineries in Bulgaria and Romania and retail outlets around the continent. “We need to find a way to disengage on these items before we can fully impose sanctions,” the official said. Full story here.
TALK ABOUT IT TODAY? Volodymyr Zelenskyy and several European leaders head to London today for a “coalition of the willing” confab. U.K. Prime Minister Keir Starmer hosts Zelenskyy in No. 10 this morning; they’ll then meet NATO chief Mark Rutte (fresh off his catch-up with Trump in Washington), before sitting down for the 90-minute call co-chaired by French President Emmanuel Macron at 4 p.m.
Who won’t be on the call: Friedrich Merz, per our Berlin Playbook colleagues — Germany will be represented by Foreign Minister Johann Wadephul.
IN OTHER NEWS
MEPs CALL FOR VÁRHELYI OUSTER: In a letter obtained by Max Griera, 35 European lawmakers urge Ursula von der Leyen to seek Commissioner Olivér Várhelyi’s resignation. “We would like to ask you to present us with concrete measures you are taking to protect the integrity of the institutions,” wrote the lawmakers from the Socialist & Democrats, the Left and Greens parties.
MOODY’S MOOD: Tonight, rating agency Moody’s will release its credit rating decision on France just weeks after both Fitch and Standard & Poor’s downgraded the country. POLITICO’s Giorgio Leali sat down with Atsi Sheth, Moody’s chief credit officer, in Paris. “We do believe that fiscal consolidation is a goal, but we anticipate that meeting that goal is going to be very challenging,” she said, adding that the agency is also looking into the consequences of the suspension of Macron’s controversial pension reform.
LOUVRE FIASCO LATEST: Victor Goury-Laffont has a top read on Sunday’s robbery at the Louvre, reporting that complaints of underfunding had brewed for months. A confidential report from France’s top court of auditors highlighted “persistent” delays in replacing security equipment, Victor reveals.
WHILE YOU WERE SLEEPING: Donald Trump suspended all trade negotiations with Canada because of an ad featuring former President Ronald Reagan speaking negatively about tariffs. The ad was produced by the province of Ontario to warn Americans that Trump’s tariffs could ultimately kill their jobs. More here.
TRUMP TO MEET XI: Trump will meet Chinese President Xi Jinping on Thursday in South Korea during a trip that will also include visits to Malaysia and Japan.
FRIDAY FEATURE: Paul Dallison has obtained the prison diary of Nicolas Sarkozy for this week’s Declassified humor column.