EU Agrees to Provide €50BN Aid to Ukraine

Amid farmers’ protests in the capital of Belgium, the EU27 leaders reached an agreement to provide a new €50-billion support package to Ukraine in a special Summit in Brussels on Thursday, February 1st, overcoming opposition by Hungary.

The President of the European Council, Charles Michel took to social media platform X (formerly Twitter) to announce the deal “We have a deal”, he posted on his account. “All 27 leaders agreed on an additional €50 billion support package for Ukraine within the EU budget. This locks in steadfast, long-term, predictable funding for #Ukraine. EU is taking leadership & responsibility in support for Ukraine; we know what is at stake.”

Following the announcement, Ukrainian President Volodymyr Zelensky welcomed the news with a post on X. “Grateful to @CharlesMichel and EU leaders for establishing the €50 billion Ukraine Facility for 2024-2027. It is very important that the decision was made by all 27 leaders, which once again proves strong EU unity. Continued EU financial support for Ukraine will strengthen long-term economic and financial stability, which is no less important than military assistance and sanctions pressure on Russia.”

According to the document, Ukraine is anticipated to receive the initial installment of €4.5 billion in March. The agreement comes after weeks of negotiations with Hungarian PM Viktor Orban who had vetoed the aid package to Ukraine in December.

Despite the agreement to assist Ukraine, European Union funds for Hungary will remain frozen, as stated by a European official to Reuters. The official added that “Hungary will have to fulfill its obligations to receive EU funds.” This development highlights the conditional nature of financial support within the EU framework, emphasizing the importance of adherence to obligations for member states to access community funds.