EU approves 90 billion euro loan package to support Ukraine through 2027

European Union leaders have agreed to provide Ukraine with a 90 billion euro interest-free loan aimed at supporting the country’s military operations and stabilizing its economy over the next two years. The decision was confirmed Friday by European Council President Antonio Costa following late-night negotiations among member states.

In a statement posted on social media, Costa said the funding package for 2026 and 2027 reflects the bloc’s long-term commitment to Ukraine as it continues to defend itself against Russia’s invasion. Details on how the loan will be financed have not yet been made public.

Diplomatic sources say talks continued into the early hours of Thursday as EU leaders sought assurances for Belgium, which had raised concerns about potential economic or political retaliation from Russia if it supported the loan. Other member states agreed to provide guarantees to address those concerns, paving the way for unanimous approval.

The funding commitment comes as Ukraine faces ongoing pressure on the battlefield and mounting costs tied to reconstruction, public services, and defence. European officials have argued that sustained financial support is necessary to prevent broader instability across the continent.

Canada and the European Union have both framed support for Ukraine as a defence of international law and democratic institutions, a position echoed by Ottawa in previous aid announcements and sanctions measures targeting Russia.