Ukraine Warupdated 58m ago2 min read
European Commission Disburses €4.36 Billion Tranche to Ukraine Under €90 Billion Support Loan
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EU disbursed €4.36 billion to Ukraine under the €90 billion loan. Most funds go to budget support; about €660 million for defence.
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EU tranche for Ukraine
The European Commission disbursed €4.36 billion to Ukraine under the EU’s €90 billion Ukraine Support Loan, with the latest tranche including €3.7 billion in macro-financial assistance and €658 million under the loan’s defense component. European Commission President Ursula von der Leyen said, "As Russia continues its relentless attacks, Ukraine is about to start its fifth wartime winter," as the EU framed the payment as support for Ukraine’s budgetary needs and urgent defense requirements.
The Commission said the defense allocation would support procurement of drones, missiles, radars, electronic warfare systems and air defense ammunition, and it reported that €16.4 billion had now been disbursed under the loan’s defense component. The European Commission also stated that a further €25.2 billion in EU financial assistance remains available to Ukraine for 2026, and it described the €4.36 billion payment as the second of three payments scheduled for 2026 under the macro-financial assistance program totaling €8.35 billion.
Conditions and reform link
The European Commission said the second tranche release depended on Ukraine meeting all 12 agreed political conditions, including measures to mobilise domestic revenue through legislation on taxation of income generated via digital platforms.
The European Commission said Kyiv removed the VAT exemption for low-value commercial imports contained in parcels and improved tax compliance, while it also advanced reforms to improve budget planning and public investment management, modernise customs systems and strengthen external audit.
The Kyiv Independent reported that the EU announced on Nov. 5 it sent an additional 4.36 billion euros in financial support to Ukraine as part of its 90 billion euro support loan, and it said the latest disbursement was linked to IMF reforms.
EU Economy Commissioner Valdis Dombrovskis said, "The 4.36 billion euros disbursed today under the Ukraine Support Loan reflect that progress," tying the payment to Ukraine’s completion of reforms required by the EU and by the International Monetary Fund (IMF).
Ukraine uses funds
Ukraine’s Prime Minister Serhii Koretskyi said the disbursed funds would be used to strengthen defense capabilities and maintain the financial stability of the state, and he announced the arrival of the €4.36 billion tranche in a post on facebook.com. Ukrainian President Volodymyr Zelensky thanked the European Union for allocating EUR 4.36 billion to Ukraine and said the funds would be used to strengthen the energy sector and air defenses and to purchase drones and electronic warfare equipment.
Zelensky said, "I am grateful to Ursula von der Leyen, the European Commission, and EU Member States for today's EUR 4.36 billion disbursement to Ukraine," and he specified that EUR 3.7 billion would go as macro-financial assistance and EUR 660 million as defense support under the Ukraine Support Loan. Ukrinform reported that Zelensky said the money would go toward strengthening Ukraine’s energy resilience and procuring drones, electronic warfare, and air defense assets, while the European Commission said the defense component would procure equipment from Ukrainian companies.