Ukraine seeks access to frozen €6.6 billion from European Peace Facility

Ukraine has urged its European Union partners to allocate €6.6 billion ($7.5 billion) available through the European Peace Facility (EPF) toward military assistance, arguing that Kyiv has a six-to-nine-month "window of opportunity" to improve its position on the battlefield.

In a letter obtained by Reuters, Ukrainian Defence Minister Mykhailo Fedorov stated that the country’s overall defence requirements are expected to reach approximately €136 billion this year, while the national budget is able to cover only about €53 billion of that amount.

Ukraine is expected to receive around €28.3 billion for defence purposes this year from the EU’s €90-billion loan programme. However, even when combined with domestic funding, "substantial" defence financing needs remain unmet, Fedorov noted in the June 26 document.

He stressed that resources available under the EPF could become "one of the most impactful European contributions to Ukraine's defence effort this year, but only if those resources are directed where they can generate the greatest and most immediate military effect."

Russian advances have slowed in recent months, while Ukrainian forces have carried out successful counteroffensives in several frontline areas. Kyiv has also intensified mid- and long-range strikes inside Russian territory, targeting logistics networks and reducing Moscow’s oil revenues.

Separately, speaking at a news conference on June 17, Fedorov said he was seeking an additional $20 billion in military assistance from the Ukraine Defence Contact Group — the coalition of 50 countries known as the Ramstein group that coordinates support for Ukraine — in addition to the $40 billion already pledged.

The €6.6 billion frozen within the European Peace Facility since 2023 was initially earmarked to reimburse EU member states for weapons supplied to Ukraine. The mechanism was designed to incentivise further military assistance, but the funds are now largely viewed as a means of offsetting part of the financial burden carried by EU governments.

By Jeyhun Aghazada