EU Asked to Cover Ukraine's €70 Billion Gap
European governments would fund two-thirds of Ukraine's 2027 budget shortfall as US aid has dried up.
Updated on Nov. 9, 2026 in Economic Policy
EU governments are being asked to cover about €45 billion, two-thirds of a €70 billion hole in Ukraine's 2027 budget. Officials in Brussels are drafting options, including a loan similar to the €90 billion package agreed in December 2025.
Why it matters
Europe has become Ukraine's primary financial backer since US aid dried up, and Kyiv has been spending through its funds faster than expected. Constant Russian aerial bombardment has also made grain exports much harder.
Ukraine faces a €70 billion gap in its 2027 budget, and EU states are asked to cover two-thirds, roughly €45 billion, compared with the €90 billion loan agreed in December 2025. Whether a similar loan structure will be used has not been decided.
The players
European Union
A political and economic union of 27 European member states that coordinates common policies, including financial support for Ukraine.
Ukraine
A country in Eastern Europe that has been defending itself against a Russian invasion and depends heavily on foreign financing for its government budget.
The details
A loan similar to the previous €90 billion package is among the options under assessment. That earlier loan is backstopped by €210 billion in frozen Russian central bank assets and is designed so Ukraine repays only after Russia pays reparations; EU governments would recoup the money from those sanctioned assets if Moscow refuses. Hungary, Slovakia and the Czech Republic secured opt-outs from that plan.
Timeline
December 2025: EU leaders agreed to the €90 billion loan for Ukraine.
- 2026-11-09
Officials discussed the EU funding gap at Monday's briefing.
Coming weeks: Governments must jointly find about €45 billion for Kyiv.
Economic Policy Context
The proposed approach builds directly on the €90 billion loan agreed in December 2025, which used €210 billion in frozen Russian central bank assets as backing. Officials are now weighing whether that same structure should cover Ukraine's 2027 shortfall.
Ukraine's funding gap could shape how much European governments must spend from their own budgets in the coming year. Taxpayers in EU member states could see these costs pass through national budgets if the proposed loan is approved.
The takeaway
The Ukraine funding question shows how dependent Kyiv has become on European governments since US aid stopped. Readers following EU budget decisions should watch whether the loan structure from December 2025 is reused.
What happens next
Governments are expected to jointly find about €45 billion for Kyiv in the coming weeks, and the funding options paper from Brussels is still being drafted.
Further reading
For broader background on how governments set and fund their budgets, see Economic Policy.
