Brussels (Belgium) (AFP) - EU leaders failed to persuade Hungary’s Viktor Orban to lift his block on a massive loan to support Ukraine’s war effort at summit talks on Thursday, leaving the much-needed funding in limbo.

Moscow’s closest partner in the bloc, the nationalist prime minister has long resisted helping Kyiv to repel Russia’s invasion, stalling EU aid and repeated rounds of sanctions.

This time around, Orban is holding up a 90-billion-euro ($104 billion) loan as leverage in a feud over damage to a pipeline running through Ukraine – which has choked the flow of Russian oil to Hungary and Slovakia.

“No oil = no money,” the Hungarian leader posted on X after the talks, which Ukraine’s President Volodymyr Zelensky addressed by videolink to plead for the funds’ release.

Orban had made it clear he planned to play hardball, as he leans into anti-EU and anti-Ukrainian narratives ahead of close-fought national elections on April 12.

That has exasperated his fellow EU leaders, and despite concerted pressure from his counterparts, he refused to budge.

“I held my ground and we are exactly where we were this morning: if there is oil, there will be money,” Orban wrote.

The EU’s foreign policy chief Kaja Kallas warned earlier it was “really, really time” to show support for Ukraine by unlocking the funding for this year and the next – which Hungary’s leader signed up to in December along with the rest of the bloc.

Zelensky doubled down, warning: “This is critical for us. It is a resource to protect lives.”

But only 25 of the bloc’s 27 leaders endorsed summit conclusions reaffirming their intent over the funds from next month, with Budapest and Bratislava the two holdouts.

Leaders agreed to revisit the matter, which requires unanimity, at their next planned meeting in late April.

- Election ‘weapon’ -

At the root of the standoff is a weeks-long dispute in which landlocked Hungary and Slovakia accuse Ukraine of stalling on pipeline repairs – while Zelensky has branded linking the issue to support for Kyiv’s war effort “blackmail”.

The European Commission moved this week to unblock the situation by sending a team to help restore oil transit, but Orban dismissed the scheme as a “fairy tale”.

Briefing on Thursday’s closed-door talks, an EU diplomat said that “all the other leaders said Orban’s stance was unacceptable” with the exception of Italy’s Giorgia Meloni, who voiced sympathy with his situation in the election run-up.

Although Orban denies it, many of his counterparts see his blocking as squarely motivated by national politics.

“He’s using Ukraine as a weapon in his election campaign, and it’s not good. We had a deal,” Finland’s Prime Minister Petteri Orpo told reporters in Brussels.

“We all know it’s linked to the elections – we are going to have to be creative,” summed up a second EU diplomat.

- Shortfall -

It’s a well worn routine in Brussels, where Orban has held up countless decisions on Ukraine and solutions have ultimately been found – in one famous case having him leave the room while the bloc approved the start of membership talks with Kyiv.

But this time it remains unclear when he might blink.

“He doesn’t sound like he’s ready to be convinced,” said a third EU diplomat after the talks.

Complicating matters, leaders have been wary of offering Orban – who is trailing main rival Peter Magyar in the polls – a chance to bolster his image as a maverick on the EU stage by publicly ganging up on him.

Facing a budget shortfall four years into the war, Kyiv is estimated to need an influx of funds in early May – implying a decision to unlock the EU loan by mid-April.

The failure to break the deadlock may push the issue back until after the Hungarian vote, whatever its outcome.

Can Ukraine hold out until then? Unclear, say EU diplomats.