Zelenskyy welcomes €90-billion EU aid deal backed by common budget

Ukrainian President Volodymyr Zelenskyy has said that the European Union has agreed to provide Ukraine with €90 billion in financial assistance for 2026–2027, describing the decision as a major boost to the country’s resilience.

Writing on Telegram, Zelenskyy expressed gratitude to EU leaders for the decision approved by the European Council, noting that the support would significantly strengthen Ukraine’s ability to withstand ongoing challenges.

He also stressed the importance of keeping Russian assets frozen and of ensuring long-term financial security guarantees for Ukraine. According to the president, the agreement reflects EU unity and is intended to protect the future of Europe as a whole.

The announcement follows a decision by EU leaders on December 18 to raise a €90 billion loan for Ukraine using the bloc’s shared budget. The move marked a departure from earlier plans to secure the funding with immobilised Russian sovereign assets, an idea that had stalled for months due to internal disagreements.

The compromise was reached after more than 16 hours of negotiations at a summit in Brussels and is designed to cover Ukraine’s financing needs over the next two years. Ukrainian officials had warned that without additional external support, the country could face a serious financial crisis as early as the beginning of 2026.

The deal also comes amid broader efforts by European capitals to reinforce their political role alongside US-led initiatives aimed at negotiating an end to Russia’s nearly four-year war against Ukraine.

Previously, EU governments had examined the possibility of using roughly €210 billion in frozen Russian state assets — most of which are held in Belgium — to support what was described as a reparations-style loan for Kyiv. That proposal ultimately collapsed after Belgium sought extensive and open-ended guarantees from other member states to cover potential legal challenges and the risk of retaliation from Moscow. Several countries rejected those conditions as unacceptable.

France and Italy then promoted an alternative approach based on the EU’s common budget, which eventually secured enough support among leaders to move forward.

Under the final arrangement, the European Commission will borrow €90 billion on capital markets, using unused capacity in the EU budget as collateral. Leaders also agreed that the scheme would not place direct financial obligations on the Czech Republic, Hungary and Slovakia, all of which had opposed the use of EU funds to support Ukraine.

By Tamilla Hasanova