EU Greenlights Major Financial Package to Support Ukraine's Reforms

The European Union plans to allocate up to 2.7 billion euros to Ukraine, following successful reforms by the Ukrainian parliament. EU enlargement commissioner Marta Kos confirmed this, noting a separate 90 billion euro loan is also assured after political shifts in Hungary. Additional efforts are pursued to address future financing gaps in Ukraine.

The European Union is set to allocate between 2.5 billion and 2.7 billion euros to Ukraine, contingent upon the completion of several key reforms by the Ukrainian parliament, as revealed by EU enlargement commissioner Marta Kos. Speaking in Washington alongside Ukrainian Finance Minister Serhiy Marchenko, Kos conveyed the EU's commitment amid shifts in Hungary's political landscape.

Marchenko emphasized that the 90 billion euro EU loan, now unblocked thanks to the Hungarian elections that saw Prime Minister Viktor Orban ousted, is crucial for bridging Ukraine's projected 2026 financing gap of $52 billion. Discussions are still underway to address a similar gap anticipated in 2027.

Kos remains optimistic about Ukraine meeting its reform milestones, underscoring a robust pipeline for the EU's Ukraine facility. She expressed confidence in continued EU-Ukrainian collaboration, assured by talks with potential Hungarian leaders, signaling timely delivery of promised financial aid.

(With inputs from agencies.)