Commission advances €90 billion Ukraine Support Loan implementation, paving the way towards first disbursement in June

This week, the Commission and Ukrainian Parliament have adopted the Ukraine Support Loan (USL) Agreement setting out reforms, detailed financial terms and operational arrangements for the facility and paving the way for its swift implementation. This went in hand with the adoption of the Memorandum of the Understanding underpinning the Macro-financial Assistance Programme for 2026 by both sides, also this week. These represent important steps towards the implementation of the EUR 90 billion USL, which will provide critical budgetary assistance and help accelerate urgent defence procurement for Ukraine in 2026 and 2027.

Following the European Council's decision in December to provide Ukraine with such loan for 2026 and 2027, the Council adopted the USL Regulation on 23 April. The Loan will ensure that Ukraine can meet its urgent budgetary and defence needs, enabling the country to remain resilient in the face of ongoing Russian attacks. It covers two thirds of Ukraine's overall financing and defence needs for 2026 and 2027. Continued and coordinated financial and defence support from international partners therefore remains essential, including timely delivery on commitments by the G7 for 2026 and beyond.

The signature by the Commission earlier this week and today’s ratification by Ukraine of the Loan Agreement and the Memorandum of Understanding pave the way towards the first disbursements that are expected in June.