Ukraine obtained a defence tranche from the EU under the Ukraine Support Loan
A total of EUR 3.47 billion has been transferred by the European Union to Ukraine’s dedicated defence account. The funds will be used to finance Ukraine’s priority defence needs, including strengthening the capacity of the domestic defence industry and ensuring urgent supplies for the frontline.
Ukraine has recently received the first defence tranche of EUR 5 billion. The second tranche will enable the continued financing of the critical needs of the Defence Forces and the expansion of Ukraine’s domestic defence production.
The Ukraine Support Loan is part of the European Union’s broader two-year support framework for Ukraine for 2026–2027. The instrument provides up to EUR 90 billion and enables Ukraine to cover its urgent financing needs while ensuring greater predictability of funding over the medium term.
In 2026, Ukraine is expected to have access to up to EUR 45 billion under the Ukraine Support Loan. Of this amount, EUR 28.3 billion is allocated to the defence component.
“The European Union continues to demonstrate its commitment to supporting Ukraine’s defence capabilities through concrete financial decisions. The EUR 3.5 billion received will allow us to maintain uninterrupted financing of the most urgent needs of the Defence Forces. This means faster delivery of essential weapons and equipment to the frontline and stronger capacity for Ukraine to ensure its own security. I am grateful to the EU for its timely and consistent support,” said Minister of Finance of Ukraine Sergii Marchenko.
On 25 June, Ukraine’s State Budget received EUR 3.2 billion from the European Union as the first budget support tranche under the Ukraine Support Loan. In addition, Ukraine received EUR 5 billion as the first part of the defence tranche. The total amount of financing secured by Ukraine under this instrument has therefore reached EUR 11.7 billion.
Additional information
The Ukraine Support Loan provides up to EUR 90 billion in financing for Ukraine in 2026–2027. Of this amount, EUR 30 billion is allocated to economic and budget support, while EUR 60 billion is intended to support defence needs, including investment in Ukraine’s defence-industrial capacity.
The instrument is financed through EU borrowing on capital markets and backed by the European Union budget. The loan is expected to be repaid from future reparations to be paid by russia to Ukraine for the damage it has caused.