Ukraine has received its final tranche of £752 million (approximately $1 billion) from the United Kingdom as part of the G7 Extraordinary Revenue Acceleration for Ukraine (ERA) initiative. This funding aims to bolster Ukraine’s defense capabilities amid ongoing conflict.
Ukrainian Finance Minister Serhiy Marchenko expressed gratitude to the UK government for its consistent support in countering Russian aggression during the ongoing full-scale war. He noted that the funds are earmarked specifically for addressing priority needs within the security and defense sectors.
On March 1, 2025, Marchenko and UK Finance Minister Rachel Reeves signed an agreement to provide Ukraine with £2.26 billion (around $3 billion) for defense purposes. The initial two tranches, totaling £1.5 billion, were disbursed in March and April 2025.
The G7 ERA mechanism, which can allocate up to $50 billion, involves directing loans to Ukraine that are repaid using revenues generated from frozen Russian sovereign assets. Between 2024 and 2025, G7 countries and the EU have already provided nearly $28 billion in funding to Ukraine under the ERA framework.
In related developments, following the defeat of the ruling party of Hungary’s Prime Minister in the April 12 elections, the European Union anticipates the swift unlocking of a €90 billion credit for Ukraine, alongside the implementation of a 20th sanctions package against Russia. It has also been reported that the first tranche of military assistance under the EU credit will be allocated for the procurement of domestically produced drones.
The UK has finalized a significant financial support package for Ukraine, aimed at enhancing its defense capabilities amidst ongoing conflict. This funding is part of a broader G7 initiative that has already provided substantial resources to Ukraine in recent years.