EU to Continue Preparing €90 Billion Loan for Ukraine Despite Hungary’s Veto

The EU will continue working on implementing a €90 billion loan program for Ukraine despite Hungary’s veto.

This was reported by the European Pravda with reference to European Commissioner Valdis Dombrovskis.

According to the plan, on Tuesday, February 24, the Council of the European Union will approve two of the three legislative acts necessary to complete the process. A special feature of this loan is that Ukraine will only have to repay it once Russia pays reparations for its aggression.

All three documents have already been approved by the European Parliament and are in the final stage of approval by the EU Council. It was planned that the documents would be adopted by the EU Council and signed by the European Parliament on February 24, the anniversary of Russia’s full-scale invasion of Ukraine.

According to the plan, of the €90 billion planned to be provided in 2026–2027, two-thirds, or €60 billion, will go to military assistance. Thus, the implementation of this decision is critical to ensuring Ukraine’s defense capabilities in the short and long term.

In particular, Ukraine plans to use part of this funding to purchase Swedish Gripen fighter jets. The funds may also be used to purchase critical equipment “outside the EU.”

“First of all, what will happen tomorrow: tomorrow, the Regulation on the loan to support Ukraine will be finalized, and this process is going according to plan,” Dombrovskis told a correspondent of European Pravda.

The approval of this document does not require the unanimous support of all EU members and will complete the political decision-making process on the loan to support Ukraine. This will allow the EU to work on further technical documents necessary for granting the loan. According to the plan, the first tranche should arrive in April 2026.

Hungary’s veto concerns amendments to the multiannual financial framework — the EU’s long-term budget for 2021–2027.

“These amendments are necessary so that the European Commission can actually borrow at the EU level to provide this support to Ukraine,” the European Commissioner explained.

Thus, Hungary’s refusal to approve changes to the EU’s long-term budget does not pose an immediate threat to the process, as the European Commission must prepare to raise funds for Ukraine on international financial markets.

“In December, all EU leaders, including Hungarian Prime Minister Orbán, agreed to support the loan. Incidentally, Hungary, along with Slovakia and the Czech Republic, is not participating in this financial support. Therefore, we expect them to abide by this agreement,” Valdis Dombrovskis emphasized.

At the same time, Hungary has stated that it will block €90 billion for Ukraine until Ukraine resumes the transit of Russian oil through the Druzhba pipeline.