The European Commission has announced the first disbursement to Ukraine under the new European lending program worth €90 billion for the 2026–2027 period, aimed at covering the country’s immediate fiscal and defense needs. The first payment amounts to €3.9 billion and forms part of an initial tranche totaling approximately €6 billion, which is earmarked for the procurement of unmanned aerial vehicles (drones).
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According to the Commission, additional disbursements will follow in the coming days to complete the full first tranche. This payment marks the formal launch of the new European financing program for Ukraine, through which a total of €90 billion will be made available to support both the Ukrainian economy and its defense industry.
Of the total amount, €30 billion will be allocated to macroeconomic and fiscal support through the Macro-Financial Assistance instrument and the Ukraine Facility program. The remaining €60 billion will be directed toward strengthening Ukraine’s defense industrial capacity, covering the procurement of military equipment from Ukrainian, European, and other eligible industries.
Ukraine: loan conditions and repayment terms
The European Commission clarifies that the financing is tied to the implementation of specific reforms by the Ukrainian government. In particular, the continuation of financial support is contingent on demonstrable progress in the areas of the rule of law, transparency, and anti-corruption measures — all of which are core conditions of the program.
The Commission also notes that the new loan will be funded through borrowing by the European Union on international capital markets. Under the program’s framework, repayment is expected to be covered in the future through war reparations that Russia will be required to pay to Ukraine.
With this first disbursement, the European Union is launching one of the largest financial support programs ever approved for Ukraine since the start of the war, with the dual objective of strengthening the country’s economic resilience and addressing critical defense needs.
