War Loan: EU Unveils 90 Billion Euro Ukraine Loan Plan, Prioritizing European Arms Procurement

Deep News01-15

The European Commission formally proposed a loan plan for Ukraine on January 14th, outlining a 90 billion euro loan package to be provided between 2026 and 2027. Approximately two-thirds of this sum, equating to 60 billion euros, is designated for military assistance, while the remaining 30 billion euros is allocated for budgetary support.

This comprehensive package advances an agreement reached by the European Council in December of last year. The EU explicitly reserves the right to utilize frozen Russian assets to repay the debt.

The loan employs a limited-recourse financing model, meaning Ukraine would only be required to repay it if Russia ultimately pays war reparations. The European side retains the right to use frozen Russian assets to settle this debt.

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