Ukraine received €5.9 billion ($6.84 billion) from the European Union to cover state expenses in the social and defense sectors, as well as recovery efforts, Ukraineʼs Ministry of Finance reported.
Of the total, €4.1 billion ($4.75 billion) comes under the G7’s Extraordinary Revenue Acceleration for Ukraine (ERA) initiative, backed by interest income from frozen Russian assets, and €1.8 billion ($2.09 billion) is provided as a loan through the EU’s Ukraine Facility instrument.
The EU remains Ukraine’s largest donor of direct budget support, with total assistance exceeding €68.4 billion ($79.38 billion) since the start of Russiaʼs full-scale invasion in February 2022, Ukraineʼs Ministry of Finance reported in a press release.
G7 Extraordinary revenue acceleration supports Ukraine using frozen Russian assets
Under the ERA program, G7 countries agreed to deliver up to $50 billion in support to Ukraine through 2025. The initiative is designed to repurpose profits generated from approximately €210 billion ($237 billion) in immobilized Russian central bank assets, most of which are held within the EU.
Its key aim is to make Russia pay for its full-scale invasion of Ukraine.
Since late 2024, the G7 countries and the EU have already delivered about $35 billion through this initiative, the press release says.
The latest $4.75 billion marks the final tranche of the €18.1 billion ($21 billion) the EU mobilized for Ukraine under the ERA.
“The decision to allocate to Ukraine the revenues from frozen Russian assets was unprecedented and fair,” the press release quoted Ukraineʼs Minister of Finance of Ukraine Sergii Marchenko. “The $21 billion received in 2025 has strengthened our financial stability and ability to effectively resist the enemy on the front line.”
Meanwhile, the EU is considering a new plan to provide loans to Ukraine using Russia’s frozen central bank assets, referred to as “reparation loans.”
However, EU leaders failed to approve the plan after Belgium refused to endorse it, citing concerns over possible legal and financial retaliation from Moscow. Most of the frozen funds are held by Euroclear, a Brussels-based clearing house.
Talks between the European Commission and the Belgian government on Friday also ended without progress, leaving uncertainty over the future of Ukraine’s financial support.
Ukraine facility provides EU loan support as Ukraine implements key reforms
The Ukraine Facility is a €50 billion ($58.3 billion) EU financial assistance program, signed in February 2024 and planned for 2024-2027, aimed at supporting the country’s recovery, reconstruction, and modernization. To receive the funds, Ukraine must implement a series of reforms in different areas.
Since 2024, Ukraine’s State Budget received over €24.4 billion ($28.30 billion) under this program, including over €8.3 billion ($9.63 billion) in 2025.
To secure the latest tranche, Ukraine completed ten reform steps required by the EU. These include measures in anti-corruption, public administration, regional policy, human capital, agriculture, digital transformation, environmental protection, and state asset management, the Ministry release says.
“In recent months, we have been working closely with the European Union to develop new initiatives to ensure Ukraine’s budgetary needs in 2026-2027,” Marchenko said.
Previously, Marchenko told Ukraine’s lawmakers that for 2026, the identified need for external financing currently amounts to $18.1 billion, based on an estimated average US dollar annual exchange rate of Hr. 45.7.
The estimate differs from the central bank’s figure of an “unidentified” gap of $12.7 billion for Ukraine’s needs in 2026. Ukraine’s central bank does not publish its forecast on the exchange rate.
Ukraine spends around 60% of its budget on the war effort against Russia and depends heavily on Western allies to cover pensions, public sector wages, and humanitarian programs.