EU leaders Thursday tasked the European Commission to move ahead with options for funding Ukraine for two more years, leaving the door open for a mammoth loan using frozen Russian assets, diplomats told AFP.

In broadly worded conclusions adopted after marathon talks in Brussels, EU leaders stopped short of greenlighting plans for the 140-billion-euro ($162-billion) "reparations loan" -- pushing that crunch decision to December.

But several diplomats told AFP the text was a step towards a potential agreement -- though it had to be watered down in the face of strong objections from Belgium, where the bulk of the Russian central bank funds are held.

European Council President Antonio Costa said the bloc had "delivered an important message".

"The EU is committed to addressing Ukraine's pressing financial needs for the next two years, including support for its military and defence efforts," Costa wrote on X. "Russia must stop the war immediately."

Earlier in the day, Ukraine's President Volodymyr Zelensky had urged EU leaders to agree to the proposal -- with new funding sources seen as........

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