EU to Cover Two-Thirds of Ukraine's 2026-2027 External Financing with €90 Billion Loan

The European Union intends to cover two-thirds of Ukraine's external financing requirements for 2026 and 2027 through a €90 billion loan. Other international partners have, to date, confirmed funding for the remaining third only for 2026, as reported by European Pravda's Brussels correspondent, citing European Commissioner for Economy Valdis Dombrovskis.

Dombrovskis stated that while the financial outlook for next year is largely secure, attention must now shift to 2027. He remarked, «I would say that now (in 2026) we are more secured (with funds to finance Ukraine). This year, a much more acute issue is the financing deficit for 2027.»

The EU's contribution will consist of €45 billion allocated for Ukraine in both 2026 and 2027, collectively representing two-thirds of the country's projected budgetary and military needs over the two-year period. Specifically for 2026, €16.7 billion of the EU's €45 billion is designated for Ukraine's budgetary requirements, with €28.3 billion allocated for the Ukrainian army, defense, and weapons production. The initial tranche of military aid from the €90 billion EU loan is earmarked for the procurement of Ukrainian-made drones.

The remaining one-third of the funding is anticipated from other international partners, including G7 states, international financial institutions such as the IMF, and EU member states providing bilateral support to Ukraine. Preliminary estimates from the European Commission indicate that Ukraine will require €71.7 billion in Western assistance in 2026, comprising €20.1 billion for macro-financial needs and €51.6 billion for military needs. For 2027, international support for Ukraine is projected to be at least €64 billion, divided into €32.2 billion for macro-financial needs and €31.8 billion for military needs. It is this non-EU third of the funding for 2027 that has yet to be secured.