EU Approves €90 Billion Ukraine Loan for 2026–27 as Asset-Seizure Plan Stalls
The unresolved plan to use frozen Russian assets leaves Ukraine’s longer-term financing in doubt.
Overview
- Funding will be raised through collective EU borrowing as a zero-interest loan, with repayment tied to Ukraine securing full reparations from Russia.
- EU leaders said the bloc reserves the right to use frozen Russian state assets to repay the loan if Moscow does not pay reparations.
- Hungary, the Czech Republic and Slovakia formally opted out of the joint-borrowing scheme, leaving 24 member states to raise the funds.
- Efforts to operationalize a reparations-style loan backed by immobilized Russian central-bank assets failed, with Belgian legal and financial concerns prevailing and the assets remaining indefinitely frozen.
- Politico and the Guardian describe a gloomy institutional mood and argue the €90 billion package will not transform Ukraine’s battlefield prospects or fully stabilize its finances.