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€90 Billion Loan to Ukraine to Cover War Costs

Published January 14, 2026

Goal: Aid Ukraine's war effort

The EU is amending its 2021‑2027 budget rules to give Ukraine a €90 billion loan, letting the EU guarantee and subsidize the loan so Ukraine can get the money quickly and cheaply while keeping the main budget limits intact.

Budget

Summary

The European Union is amending its 2021‑2027 multiannual financial framework (Regulation (EU, Euratom) 2020/2093) to give Ukraine a new €90 billion loan under an “enhanced cooperation” scheme.

Why the amendment?

  • Russia’s war against Ukraine has created urgent financial needs.
  • The EU has already helped Ukraine with other funds, but it needs a dedicated loan that can be paid back over time.
  • The amendment will let the EU guarantee the loan and cover the costs of borrowing (interest, issuing, and administration) so that Ukraine can get the money quickly and cheaply.

Key features

Feature What it means
Guarantee over the budget ceiling The EU can use money beyond the normal budget limits (the “MFF ceilings”) to guarantee the loan, but it must stay below the overall “own resources” ceiling.
New special instrument – Ukraine Support Loan Instrument A separate budget line that pays only the debt‑service costs (interest and related fees) for the €90 billion loan.
Concessional support The EU will subsidise the borrowing costs, making the loan cheaper for Ukraine.
Legal basis Article 312 of the Treaty on the Functioning of the EU (TFEU).
Subsidiarity Not relevant because the EU has exclusive power over this policy.
Proportionality The changes match the urgent need to help Ukraine.
Budget impact The new instrument is added “over and above” the existing budget ceilings, so it does not change the main budget limits.

Regulation changes

  1. Article 2 of the MFF is updated to allow the EU to mobilise guarantees for the Ukraine loan beyond the MFF ceilings.
  2. Article 10c is added, creating the Ukraine Support Loan Instrument for debt‑service costs.
  3. The amendment enters into force the day after it is published in the Official Journal.

Numbers to remember

  • Loan amount: €90 billion
  • Time frame: 2021‑2027 (the current multiannual financial framework)
  • Regulation reference: COM(2026) 21 final/2 (amended proposal)

This amendment ensures that the EU can provide Ukraine with the necessary financial help quickly, while keeping the overall budget under control.

Licensing: The summaries on this page are available under Creative Commons Attribution 4.0 (CC BY 4.0).

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