European Parliament approves 90 billion euro loan for Ukraine

Wednesday 11 February 2026 - 15:22

By: Dakir Madiha

European Parliament approves 90 billion euro loan for Ukraine

The European Parliament on Wednesday approved a 90 billion euro loan package for Ukraine, representing the largest single financial commitment by the European Union to Kyiv since Russia launched its full scale invasion nearly four years ago. The funding is designed to sustain Ukraine’s defense and economy through 2026 and 2027 as the conflict enters its fifth year.

Lawmakers backed the measure by 458 votes to 140, allocating 60 billion euros for military procurement and 30 billion euros for macroeconomic and budgetary support. The legislation was adopted under the Parliament’s urgent procedure to ensure swift disbursement of the funds.

The loan will be financed through joint EU borrowing on capital markets, backed by the bloc’s long term budget. Under the agreed terms, Ukraine will only be required to repay the principal once it has received war reparations from Russia, effectively shifting the ultimate financial burden to Moscow.

Debt servicing costs will be covered by annual EU budgets. The European Commission estimates these costs at around 1 billion euros in 2027 and roughly 3 billion euros per year from 2028 onward.

“This is Putin’s war. Make Russia pay,” said Swedish lawmaker Karin Karlsbro, who steered the legislation through Parliament.

The EU Council must still formally adopt the package before the European Commission can release the first tranche of funds, expected at the start of the second quarter of 2026. Ukrainian Finance Minister Sergiy Marchenko welcomed the vote and said he hoped Ukraine could begin receiving the money in April.

Not all member states supported the initiative. Hungary, Slovakia and the Czech Republic declined to back the loan, though they did not block it. The agreement was concluded under the EU’s enhanced cooperation mechanism, which allows a group of willing member states to proceed without requiring unanimity.

The three Central European governments will not bear financial risk associated with the borrowing but will also have no role in determining its conditions. The remaining 24 member states have committed to guaranteeing the joint debt issuance.

French lawmaker Nathalie Loiseau said before the vote that most international support for Ukraine has come from a relatively small group of countries, with Europe providing the majority. She described the assistance as both a matter of principle and security.

According to the European Commission, the new loan is intended to cover roughly two thirds of Ukraine’s estimated financing needs for the period in question. Since February 2022, the EU and its member states have provided a combined 193.3 billion euros in total assistance to Ukraine, more than any other donor.