A photoshop mock up of what it’d look like

Until you can move it. I’d leave that wall alone :)

To be honest that mirror is way too small for the wall and if you want to draw your eye away from that AC get a fabulous huge piece of art on that wall. I actually don’t like mirrors in DR since no one really wants to see themselves eating. also mirrors need to be hung to reflect something worth seeing twice so find another home for the mirror. BTW if you paint the wall a much lighter color it will also help blend the AC

Congratulations on your new home and what a beautiful dining room! And what a blessing to have a/c in the room. If I were in your situation and needed a budget friendly solution to camouflage the indoor unit, I would carefully paint it the same blue color as the wall to help it blend in. Then ignore it and decorate wall as usual . . .