EU unblocks €90B loan
- The EU agreed to unblock a €90 billion loan package for Ukraine after Hungary lifted its veto yesterday. - The approval was explicitly tied to Ukraine restarting oil flows through the Druzhba pipeline to Hungary and Slovakia. - EU officials say the formal unlocking should conclude today, and leaders framed the move as signalling a longer war footing for Europe rather than a quick peace (theguardian.com).
The European Union cleared a €90 billion loan for Ukraine on April 23 after Hungary dropped its veto and the last legal step passed in Brussels. (consilium.europa.eu) The Council of the European Union said the loan will cover Ukraine’s “urgent budgetary and defence needs” in 2026 and 2027, and the European Commission can start disbursements in the second quarter of 2026. (consilium.europa.eu) Hungary and Slovakia had been blocking the package during a months-long stoppage in Russian oil deliveries through the Druzhba pipeline, which crosses Ukraine. Slovak Economy Minister Denisa Saková said flows to Slovakia resumed before the vote. (apnews.com) Reuters reported on April 22 that Russian oil restarted through the Ukrainian section of Druzhba after repairs, allowing Budapest to lift its objection. Politico reported earlier this month that President Volodymyr Zelenskyy had linked the repair timetable to the stalled loan talks. (usnews.com) (politico.eu) The package was first agreed in principle by European Union leaders in December 2025, but one part required unanimity because it amended the European Union budget. Euronews reported that ambassadors launched the final written procedure on April 22 and raised no objections on April 23. (consilium.europa.eu) (euronews.com) The size of the loan shows how European governments are planning for a war that continues into a third full year and beyond, not a near-term settlement. The Council said the money is aimed at keeping the Ukrainian state operating while supporting defence industrial capacity. (consilium.europa.eu) The approval moved in parallel with a new European Union sanctions package on Russia. The Kyiv Independent reported that the same April 23 Council meeting adopted the 20th sanctions package after Hungarian and Slovak envoys dropped their vetoes a day earlier. (kyivindependent.com) Zelensky said the loan will strengthen Ukraine’s army, shore up the economy and help the government meet social obligations. After months of linkage between oil transit and aid, Brussels has now turned the political agreement into money the Commission can start sending within weeks. (yahoo.com) (consilium.europa.eu)
