The EU has disbursed the second tranche of a €90 billion loan to Ukraine. This time, it is for defense

The European Union has disbursed the first tranche of aid to Ukraine, worth €3.9 billion, for defense purposes. This is part of a larger €90 billion EU loan. The funds will be used, among other things, for the production of drones.

This was reported by the Prime Minister of Ukraine Yulia Svyrydenko.

According to Svyrydenko, the funds will also be used to ensure urgent deliveries to the front and to strengthen the capabilities of the Ukrainian defense-industrial complex.

This is the second tranche of the €90 billion loan for Ukraine. The first tranche of €3.2 billion was provided by the EU on June 25. It will be entirely used for budget support.

€90 billion loan from the EU

In December 2025, EU leaders approved a decision to provide Ukraine with a €90 billion loan in 2026-2027. On February 11, the European Parliament supported this decision.

For a long time, Hungary blocked a loan to Ukraine due to the suspension of Russian oil transit through the “Druzhba” oil pipeline. On April 23, the “Druzhba” pipeline resumed its operation, and on the same day, the Council of the European Union approved this loan and the 20th package of sanctions against Russia.

The money allocated for 2026 will be distributed as follows: €28.3 billion for defense, €16.7 billion for budget support (€8.35 billion under the EUʼs macro-financial assistance mechanism, the same amount through the Ukraine Facility). The loan will be repaid with proceeds from frozen Russian assets in European banks.

Author: Khrystyna Pitsuriak

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