Polish Prime Minister Donald Tusk, center, European Commission President Ursula von der Leyen, left, European Council President Antonio Costa, second from right, and Ukrainian Prime Minister Yulia Svyrydenko, second from left, pose for a group photo at the opening session of the Ukraine Recovery Conference 2026 at the European Solidarity Centre in Gdansk, Poland, Thursday. Photo by Adam Warzawa/EPA
The European Union released $3.6 billion in funds of the Ukraine Support Loan for budget and defense needs, the bloc said Thursday.
The funds were released at the Ukraine Recovery Conference, where European Commission President Ursula Von der Leyen announced the funding, which is the first instalment of the new macro-financial assistance. The MFA is a segment of the Ukraine Support Loan, under which $102 billion will be offered to Ukraine in 2026 and 2027.
“As a country at war, Ukraine’s capaicty to defend its territory depends on the rapid availability of critical products in the required quantities and within very short timeframes,” a press release said. “The first instalment of the [$6.8] billion defense package to support drone procurement will be disbursed in the coming days.”
“This is indeed solidarity in action,” Von der Leyen said. “It shows Europe’s support for Ukraine is here to stay.”
The original plan in December was to use Russia’s frozen assets to fund the loan, but the Russian Central Bank sued a Belgian bank over the plan, so the EU had to find a new way to finance the loan.
Instead, they agreed to create the loan through joint debt. Hungary, Slovakia and the Czech Republic negotiated an exemption.
The payments are conditional on Kyiv’s reforms. If Ukraine reverses its ongoing fight against corruption, the EU could suspend the funds, Euro News reported.
The loan also requires Ukraine to buy weapons and ammunition made in Europe, with some exceptions depending on availability.
“Ukraine has the opportunity to analyze the situation on the battlefield and identify the range of products that they need, and then they have to inform us in the form of product schedules,” a Commission spokesperson told Euro News. “The priority remains to make purchases within the EU and Ukraine.”
“We continue to call on all our partners to maintain their support, because a strong and independent Ukraine is in all our interests,” Von der Leyen said Thursday. “Our ambition is not only to help Ukraine endure, it is also to help Ukraine grow and prosper as a free and European country.”
The United States is not expected to contribute funds to the loan.
