The European Parliament has approved a €90 billion loan package designed to provide financial assistance to Ukraine throughout 2026 and 2027, as the conflict with Russia enters its fifth year. The aid, approved on Tuesday, February 10, 2026, aims to address Ukraine’s urgent financing needs, with €30 billion earmarked for macro-economic support delivered through the EU’s Ukraine Facility and €60 billion dedicated to bolstering Ukraine’s defense capabilities.
The defense funding will prioritize the procurement of military equipment, with a preference for products originating from Ukraine, the European Union, the European Economic Area, and the European Free Trade Area. Exceptions will be made for situations where such products are unavailable or cannot be delivered promptly, allowing for targeted purchases from other countries. The European Commission will assess a financing strategy developed by Ukraine to determine the disbursement of funds, subject to approval by the Council of the European Union.
The loan package is contingent upon Ukraine’s continued commitment to democratic governance, the rule of law, and the protection of human rights, including minority rights. Continued efforts to combat corruption and strengthen democratic institutions are also stipulated as conditions for receiving the financial aid.
Financing will be secured through joint EU borrowing on capital markets, guaranteed by the headroom within the EU’s long-term budget. The EU budget will cover the associated debt servicing costs, estimated at approximately €1 billion in 2027 and around €3 billion annually from 2028. Ukraine will be responsible for repaying the loan using future reparations received from Russia, according to EU officials.
The legislative proposals required for the aid package were adopted using the European Parliament’s urgent procedure to expedite support for Ukraine. The Ukraine Support Loan proposal passed with 458 votes in favor, 140 against, and 44 abstentions. Amendments to the Ukraine Facility were approved with 473 votes for, 140 against, and 32 abstentions, while changes to the EU’s Multiannual Financial Framework (MFF) for 2021-2027 were approved by 490 votes to 130, with 32 abstentions.
The agreement was reached on December 18, 2025, at a meeting of the European Council in Brussels, and presented by the European Commission on January 14, 2026. The €90 billion is intended to cover approximately two-thirds of Ukraine’s projected financial requirements for the period.
The loan package was adopted under a mechanism known as enhanced cooperation, allowing EU member states willing to participate to proceed without requiring unanimous agreement. This follows decisions by Czechia, Hungary, and Slovakia not to financially support the loan.
The next step requires formal adoption of the package by the Council, after which the European Commission can begin disbursing the first tranche of funds in the second quarter of 2026. EU foreign policy chief Kaja Kallas has stated that Europe must define its own negotiating demands before any talks with the Kremlin on ending the war in Ukraine, as reported by Deutsche Welle on February 10, 2026.
