“Von der Leyen’s letter to EU leaders suggests when the war in Ukraine might end – mediaEuropean Commission President Ursula von der Leyen sent a letter to EU leaders assessing Ukraine’s funding needs for 2026-2027.
This amount is 135.7 billion euros, based on the assumption that the war will end in 2026.
”, — write: unn.ua
DetailsThe President of the European Commission, in a letter sent to EU leaders on Monday, reportedly urged the bloc’s countries to agree by December on a plan to cover Ukraine’s military and financial needs for the next two years, estimated at 135.7 billion euros.
“The key point now is to quickly reach clear commitments to provide the necessary funding for Ukraine, which will be agreed at the next European Council meeting in December,” said the head of the European Commission. “It is clear that there are no easy options,” she added in the letter.
“Europe cannot afford paralysis, or indecision, or the search for ideal or simple solutions that do not exist,” von der Leyen said.
In the document, von der Leyen, it is noted, emphasizes Ukraine’s “particularly acute” need for funding in 2026 and 2027: 83.4 billion euros for financing the Ukrainian army and 55.2 billion euros for stabilizing the economy and eliminating the budget deficit.
“Von der Leyen’s assessment is based on forecasts from the International Monetary Fund (IMF) and the Ukrainian authorities and assumes that Russia’s full-scale war will end in late 2026, although this is by no means certain. A ceasefire, considered a prerequisite for a peace agreement, remains elusive,” the publication says.
EU offers Ukraine €90 billion grant or loan if plan with Russian assets fails – Bloomberg17.11.25, 13:23 • 2978 views
The letter, it is noted, details three main options for supporting Ukraine:
- 90 billion euros in bilateral contributions from member states. Aid will be provided as a free grant and will be accounted for in the national budget of the member state, including any associated interest payments;
- 90 billion euros of joint debt. Interest must be covered either by national guarantees or by the bloc’s general budget. Amending budget legislation will require unanimous approval, which, the publication notes, is a difficult task given Hungary’s opposition to funding Ukraine;
- 140 billion euros in the form of a “reparation loan” based on frozen Russian assets. Ukraine will be obliged to repay the loan only after Moscow agrees to compensate for the damage.
The first two options, she notes, will increase the fiscal burden, as financial assistance will come either from a direct cash contribution from a member state or from new funds raised on the markets.
The third option, the “reparation loan,” avoids this scenario. Instead, residual funds generated from frozen assets of the Russian central bank, most of which are held in Euroclear, the central securities depository in Brussels, will be used.
Faced with potential legal consequences, Belgium is the main abstainer.
The country demanded maximum legal certainty and full burden-sharing to protect against Russian measures in the event of a lawsuit by Moscow. In her letter, von der Leyen acknowledges the risks and warns of “potential indirect effects.”
Last Friday, von der Leyen met with Belgian Prime Minister Bart De Wever to advance negotiations, which have not yet yielded significant progress.
AdditionAs Politico reported, the European Commission proposed significant guarantees for its 140 billion euro loan to Ukraine to assure Belgium that it would not be left alone with any legal or financial consequences of using Russian assets stored on Belgian territory.