EU to refund member states for arms deliveries to Ukraine

The European Union has confirmed Hungary’s agreement to unblock €6.6 billion remaining in the European Peace Facility, with plans to redistribute the funds to EU member states as compensation for military supplies delivered to Ukraine.

EU foreign policy chief Kaja Kallas made the announcement upon arriving at an informal meeting of EU defence ministers in Cyprus, Caliber.Az reports, citing Russian media.

“We have now a new Hungarian minister, which also means that we are moving on with the unblocking of the 6.6 billion," Kallas told reporters ahead of a meeting of EU defence ministers.

Kallas noted that the EU diplomatic service has prepared two possible approaches for allocating the funds: one focused on compensating member states that have delivered the largest volumes of weapons to Ukraine, and another combining compensation for delivered military aid with additional support for new supplies to Kyiv.

When asked whether Ukraine itself could access part of the funding, she said the EU would take all interests into account, while stressing that “no one will get 100%.”

She also stated that “Ukraine will already be able in June to use the first tranche of €90 billion in financing,” while discussions over the €6.6 billion under the European Peace Facility remain ongoing. The funds were originally blocked by Hungary in 2023, but have now been unblocked following a change in Budapest’s position on the matter.

By Vafa Guliyeva