EU leaders agreed to provide Ukraine with a €90 billion package for 2026 and 2027, structured as EU borrowing backed by the bloc’s budget after they failed to reach agreement on a plan tied to frozen Russian assets. European Council President António Costa said leaders had approved the decision for the next two years, aiming to cover most of Ukraine’s financing needs and give Kyiv predictability as the war with Russia continues. The deal leaves the frozen-assets approach unresolved, reflecting political and legal constraints among member states, but it still delivers a large, multi-year funding commitment that businesses and investors often view as a stabilizing signal for Ukraine’s fiscal outlook.

Highlights:

• Loan structure: The EU will borrow against its own budget to raise the money, after leaders could not agree on using Moscow’s frozen funds as collateral.
• Repayment trigger: António Costa said Kyiv would repay only once Russia pays reparations, linking the longer-run burden to a future settlement framework.
• Summit dynamics: President Volodymyr Zelenskyy attended the Brussels summit as leaders sought to finalize the funding arrangement amid internal disagreements over the frozen-assets approach.
• Political backdrop: Coverage noted the decision comes as President Trump pushes for a quicker peace deal, adding pressure for clearer medium-term funding plans for Ukraine.
• Joint debt signal: The Financial Times described the outcome as the EU turning to joint borrowing for Ukraine after missteps around the Russian-asset loan idea.

We committed and we delivered. - António Costa

Perspectives:

• European Council leadership: António Costa framed the agreement as delivery on a commitment and said the financing would be backed by the EU budget over the next two years. (CNBC)
• EU member state skeptics of frozen-asset use: Belgium resisted pressure to drop opposition to using Russia’s frozen assets as part of the financing approach, contributing to the fallback structure. (Financial Times)
• European Commission/EU leaders seeking a frozen-assets solution: EU leaders discussed securing support through an approach involving frozen Russian assets but failed to agree on that option at this summit. (Financial Times)
• Ukraine: Ukraine sought urgent, predictable multi-year financial support as Zelenskyy engaged leaders at the Brussels summit. (The Guardian)

Sources:

• EU agrees €90bn loan to Ukraine after frozen Russian asset plan fails - ft.com
• European Union approves over $105 billion toward Ukraine aid package for next two years - cnbc.com
• EU Agrees €90 Billion Ukraine Loan, Shooting Suspect Found Dead - bloomberg.com
• EU Lines Up $105 Billion For Ukraine Aid Without Touching Russian Assets As Trump Pushes For Quick Peace Deal - benzinga.com
• Ukraine deal: EU leaders agree €90bn loan, but without use of frozen Russian assets - theguardian.com