The European Parliament approved a substantial €90 billion loan to assist Ukraine in meeting its financial needs for 2026 and 2027, predominantly funded by the EU budget.
The European Parliament (EP) has greenlit a significant loan of €90 billion aimed at supporting Ukraine in addressing its financial requirements for 2026 and 2027, securing 458 votes in favor and 140 against. This decision follows the collapse of plans to utilize frozen Russian central bank assets to fund Ukrainian needs. Prior to the vote, centrist legislator Nathalie Loiseau emphasized that support for Ukraine is critical not only for the nation but also for the security interests of Europe as a whole.
The approved loan enables Ukraine to access up to €60 billion urgently needed for military equipment to defend against the ongoing Russian invasion. The remaining funds will be directed towards general budgetary support for the Ukrainian government. The European Union has stated that repayment of the loan will only be required once Moscow compensates for the damages inflicted during the invasion led by President Vladimir Putin, marking a unique approach to international financial assistance under these circumstances.
Additionally, the EU will cover the interest costs associated with the loan, which are anticipated to reach around €3 billion per year, through the EU budget. This financial backing underscores the EU's commitment to Ukraine's sovereignty and stability, particularly in the face of aggressive actions from Russia, further solidifying the EU's role in supporting Ukraine during this critical period.
