The Ukrainian Parliament has ratified a significant loan agreement with the European Union, enabling the country to access up to €90 billion in financial support for the years 2026-2027. The vote, which took place on May 28, saw 298 members of the Verkhovna Rada in favor of the initiative put forth by President Volodymyr Zelensky.
This funding is intended to address budget deficits, bolster macroeconomic stability, and enhance Ukraine’s defense industry capabilities, according to the parliament’s press service. The agreement designates Ukraine as the borrower, the National Bank of Ukraine as the borrowing agent, and the European Commission as the lender.
Key provisions of the agreement stipulate that the principal amount will be repaid primarily through reparations from Russia, while interest payments will be covered by the EU budget. The agreement is set to take effect on May 27, 2026, and is based on a memorandum of understanding established between Ukraine and the EU on May 20.
On April 23, the European Council unanimously approved amendments to the EU’s multiannual budget to facilitate the loan to Ukraine, alongside a 20th package of sanctions. The process of finalizing this loan faced delays due to objections from Hungary and Slovakia.
Following the ratification, President Zelensky emphasized ongoing efforts to ensure that the first tranche of this support package is available as early as May or June.
Ukraine's Parliament has ratified a loan agreement with the EU, allowing access to €90 billion in funding aimed at stabilizing the economy and enhancing defense capabilities. The agreement outlines repayment terms primarily reliant on reparations from Russia.