"The EU asks for the freezing of all further budgetary support to the government of Kenya until a political resolution to the present crisis has been found", a parliamentary spokesman said.
Last month, the EU allocated 40.6 million euros ($60 million) to President Mwai Kibaki's government. The money was intended for the fight against poverty. Between 2002 and 2007 the EU allocated $425 million in aid to the east African state.
Louis Michel, the EU aid and development commissioner, said on Wednesday that budgetary aid could be suspended until the president and the opposition, which claims the presidential polls were rigged, manage to reach a compromise.
President Mwai Kibaki, 76, recently said he wanted to form a broad government which would include members of the opposition, but has so far failed to meet with opposition chief Raila Odinga or suggest how the crisis could be ended.