EU Commission launches new fund for Ukraine recovery, allocates €1 billion in extra aid

European Commission President Ursula von der Leyen announced the creation of a European fund dedicated to the reconstruction of Ukraine, calling for up to €10 billion in private investment to support Kyiv’s recovery efforts.

Speaking at a donor conference in Rome, von der Leyen said the fund was established jointly with Italy, Germany, France, and the European Investment Bank, Caliber.Az reports, citing the Commission's website.

“Today, the EU reaffirms its role as Ukraine's strongest partner. Not just its top donor, but a key investor in its future. With €2.3 billion in agreements signed, we aim to unlock up to €10 billion in investments to rebuild homes, reopen hospitals, revive businesses, and secure energy. This is solidarity in action. Ukraine is moving closer to the EU every day — in energy, education, roaming, and culture. Europe stands with Ukraine — today and tomorrow,” she said.

Von der Leyen urged European businesses to “invest in Ukraine today” during her address at the conference.

The new fund aims to bolster Ukraine’s rebuilding process amid ongoing conflict and economic challenges.

In parallel, the Commission is disbursing €1 billion today under the sixth instalment of the EU's €18.1 billion Macro-Financial Assistance (MFA) package to Ukraine, which is to be fully paid out by the end of 2025. With this payment, the Commission's total lending to Ukraine under this MFA reaches €8 billion since the start of the year.

By Khagan Isayev