The European Parliament approved a €90 billion ($97.7 billion) loan package for Ukraine on Wednesday, February 11, 2026, designed to bolster the country’s economy and defense capabilities amid its ongoing conflict with Russia. The package consists of €60 billion allocated to strengthening Ukraine’s defense and supporting the procurement of military equipment, and €30 billion for macro-financial assistance and budget support delivered through the EU’s Ukraine Facility.
The approval follows a period of debate and, reportedly, initial resistance from Hungary, which had previously indicated it would block both the loan and a new set of EU sanctions against Moscow. While Hungary initially voiced opposition, the European Parliament proceeded with the vote, a move that prompted questions about whether the EU had circumvented Hungary’s veto. Parliament President Roberta Metsola confirmed the signing of the loan agreement on behalf of the Parliament, but emphasized this was a step within the EU’s legislative process, not a final enactment.
According to the European Parliament, the funds will be financed through common EU borrowing, with Ukraine expected to repay the loan once it receives war reparations from Russia. The first tranche of aid is anticipated in April 2026, with the loan covering the years 2026 and 2027. The legislation requires Ukraine to commit to continuing democratic reforms and fighting corruption as a condition of receiving the funds.
The procurement of military equipment will prioritize sourcing from Ukrainian, EU, and European Economic Area (EEA)/European Free Trade Association (EFTA) defense industries. However, the legislation includes provisions for sourcing from third countries if critical defense materials are not immediately available within those regions. The financial assistance will be provided in line with Ukraine’s financing needs, as outlined in a strategy prepared by Ukraine and assessed by the European Commission, and subject to Council approval.
The European Parliament’s decision marks a significant escalation of financial support for Ukraine as the conflict enters its fifth year. The aid package is intended to address Ukraine’s urgent financing needs and ensure the continued provision of essential public services. The EU has not yet commented on the specifics of how Hungary’s concerns were addressed to allow the vote to proceed.
