€90 billion for Ukraine: EU Seeks Way Around Hungary’s Veto
2 April 09:37
The European Commission has taken preliminary steps to implement a €90 billion loan to support Ukraine, despite Hungary’s opposition.
According to "Komersant Ukrainian", this was reported by the European Commission’s press service.
The package adopted by the European Commission includes a proposal to the Council of the European Union to approve the total amount of EU support for Ukraine in 2026. It provides for the allocation of €45 billion to Ukraine by December 31, 2026. Once the EU Council approves the available financial assistance, the European Commission will disburse the first tranche to Ukraine as soon as possible. The remainder of the loan is scheduled for next year.
European Commission President Ursula von der Leyen stated that the bloc intends to fulfill its previously promised loan to Ukraine in the amount of 90 billion euros.
“Today we are taking the necessary preparatory steps to mobilize this year’s budget and procure defense equipment, focusing on Ukraine’s cutting-edge drone industry. With this, we are sending a clear signal: the European Commission is ready to move forward,” Ursula von der Leyen commented on the decision regarding the preparatory steps.
In total, €45 billion is planned to be allocated in 2026: €16.7 billion for budget support and €28.3 billion for defense. Half of the budget support will be distributed through the Ukraine Assistance Mechanism, and the other half through the macro-financial program.
Blocking a €90 billion loan for Ukraine
Hungary has blocked the allocation of a 90-billion-euro loan to Ukraine from the European Union until the transit of Russian oil through the Druzhba pipeline is restored; the pipeline had been halted following a Russian strike on Brody in the Lviv region on January 27.
Budapest’s decision was announced just days before the fourth anniversary of the full-scale Russian invasion.
Hungary’s ambassador to the EU opposed the mechanism for borrowing funds guaranteed by the EU budget.
Although EU leaders agreed on a loan for Kyiv back in December, the consent of all 27 member states is required to launch the process. Hungary was the only country to block the decision, knowing that Ukraine’s budget deficit would begin as early as April.
On February 24, the Council of the European Union for General Affairs approved two draft laws paving the way for a €90 billion loan to Ukraine; however, the third necessary document—amendments to the EU’s long-term budget—remains blocked by Hungary.
During the summit in Brussels on March 19, European Union leaders were unable to reach an agreement on unblocking the €90 billion loan for Ukraine. Although most heads of state spoke in favor of providing the funds immediately, Hungary and Slovakia opposed the move.
President Volodymyr Zelenskyy is convinced that the European Union will be able to find an alternative solution for providing Ukraine with funds to finance its military if the agreed-upon €90 billion loan cannot be unblocked. He emphasized that Ukraine would be grateful if Europeans could unblock this arrangement, as the absence of an EU loan poses a risk for everyone.
