We’re going to pause the blog for now, as EU leaders gather throughout the afternoon and evening to discuss next steps in European defense and support for Ukraine. We’ll return for closing news conferences, or whenever news arises.

Welcome to the Brussels Edition, Bloomberg’s daily briefing on what matters most in the heart of the European Union.

European Union leaders arriving in Brussels Thursday urged a revolutionary change to rebuild military infrastructure after decades of neglect and create a brand new security architecture in order to counter Russia.

The European Union agreed to begin discussions on a long-term reform of its fiscal rules to allow member states to spend more on defense, following a push from Germany.

The brunt of the EU’s plan to rearm will fall on the shoulders of bond markets. That means sharply higher borrowing costs.

The European Union will propose an extension of gas-storage targets despite widespread concern among member states that the rules are contributing to market speculation and inflating prices.

The European Union will propose extending €150 billion ($158 billion) in loans to boost defense spending as the bloc tries to adjust to US President Donald Trump’s abrupt pullback of American security on the continent.

Germany has urged the European Union to reform its fiscal rules to allow countries to spend more on defense. This is a significant shift for the country, known for its restrictions on spending for such purposes,

The European Union is preparing a major defence initiative, the largest since the Cold War. It plans to spend hundreds of billions of euros on security and is considering a three-part plan to do so. Source: European Pravda with reference to Bloomberg Quote from Ursula von der Leyen,

Leaders of the European Union will call for increased flexibility in their funding rules to boost defense spending in the short term as the challenges posed by US President Donald Trump and Russia’s threat to the security of the continent are forcing a “once-in-a-generation” military build-up.