Government approves procedure for using EU funds raised to support Ukraine’s defense-industrial capabilities

The Government has approved the procedure for using European Union funds raised as part of a special loan to support Ukraine’s defense-industrial capabilities in 2026–2027. This was announced by Ukrainian Prime Minister Yulia Svyrydenko.

“This will allow us to direct the funds raised from the EU toward the procurement of weapons, military hardware, and equipment for the needs of the Ukrainian Armed Forces,” the Prime Minister noted. 

The Head of Government emphasized that the European funds would be directed not only toward the import of weapons but also toward the direct financing of contracts with Ukrainian manufacturers.

Procurements will be carried out, in particular, through international organizations in accordance with their procedures, which will expedite the delivery of critical components and finished weapons.

“Monitoring, oversight, auditing, and reporting will be implemented in accordance with European Union requirements, ensuring the transparent and most effective use of the funds raised,” noted the Prime Minister of Ukraine. 

The Ukraine Support Loan agreement was signed and ratified in late May. This is a European Union lending facility of up to EUR 90 billion, covering the period 2026–2027. Of this amount, EUR 60 billion will be allocated to Ukraine’s defense needs.

As early as this year, EUR 28.3 billion in defense support is expected under the Ukraine Support Loan.