European Commission has presented a proposal for a new financial instrument for Ukraine of up to EUR 90 billion

The European Commission has officially presented a proposal to establish a new financial instrument for Ukraine for the next period.

The proposed loan envisages providing Ukraine with up to EUR 90 billion in 2026–2027. The financing will be carried out through EU borrowing on international capital markets, with the obligations backed by the European Union’s budgetary reserve.

The funds are intended to ensure:

- the uninterrupted functioning of Ukraine’s State Budget;

- financing of defense and security needs;

- the country’s macrofinancial stability;

- the resilience of the economy under wartime conditions.

EU support is also of crucial importance for ensuring macroeconomic stability and for Ukraine’s continued cooperation with international partners, in particular the International Monetary Fund. In September 2025, Ukraine submitted a request to the IMF for a new financing program for 2026–2029. Its implementation depends on the availability of sufficient financial guarantees from international partners, including the European Union.

EU financial assistance also supports Ukraine’s path as a candidate country for EU membership, promotes reforms in the areas of the rule of law and public administration, strengthens the European defense-industrial base, and enhances cooperation in defense technologies.

Next steps: consultations among Member States within the Council of the European Union and consideration by the European Parliament with a view to further alignment and approval of the final parameters of the instrument.

“Since the start of russia’s full-scale invasion on February 24, 2022, the European Union and its Member States have mobilized unprecedented financial, economic, humanitarian, and military assistance for Ukraine. Supporting Ukraine is not only an act of solidarity, but also a strategic investment in Europe’s security and stability. Ukraine’s defeat would significantly increase the risks of further Russian aggression against EU Member States. I am grateful to the European Commission and all EU institutions and Member States. We continue active cooperation so that Ukraine can receive the funds as early as the second quarter of 2026,” said Ukraine’s Minister of Finance Sergii Marchenko.

On December 18–19, following a meeting of the European Council, EU leaders confirmed their readiness to help Ukraine ensure financial resilience in 2026–2027. The parties agreed to provide Ukraine with EUR 90 billion.