Key facts
- Ukraine received a $3.9 billion tranche from the European Union.
- The funds are designated for procuring drones, missiles, and fighter jets.
- This is part of a larger 90 billion euro EU loan program for Ukraine.
- The EU Council approved additional financing of $9.5 billion for 2026.
- The plan includes new reform steps for Ukraine's EU membership bid.
Ukraine has received a new 3.47 billion euro ($3.9 billion) tranche from the European Union, announced by Prime Minister Serhii Koretskyi on July 30. The funds are part of the EU's 90 billion euro Ukraine Support Loan program, designed to aid Ukraine's defense efforts and government budget.
The allocated funds will be used for the procurement of critical military equipment, including drones, missiles, and Gripen fighter jets, as Russia's attacks on Ukraine persist. The EU stated the objective is to enable Ukraine to quickly secure necessary equipment.
The Ukraine Support Loan is crucial for both Ukraine's war effort and its broader government budget, with expectations that it will cover two-thirds of the country's financial needs for 2026 and 2027. A final agreement on the loan was reached in April.
To date, Ukraine has already received 11.6 billion euros from the program, with the majority allocated to defense spending and the remainder to state budget expenditures. European Commission President Ursula von der Leyen noted that this tranche would foster closer ties between Europe's and Ukraine's defense industries and advance the new Drone Deal.
Earlier on July 30, the Council of the European Union approved modifications to the Ukraine Plan, clearing the path for an additional 8.3 billion euros ($9.5 billion) in financing under the Ukraine Support Loan for 2026. This updated plan includes new reform benchmarks related to the rule of law and anti-corruption efforts, which are prerequisites for Ukraine's EU membership.