The Verkhovna Rada has ratified a memorandum and loan agreement with the European Union to provide Ukraine with a loan of EUR 90 billion over the 2026–2027 period. According to the Ukrainian News agency, 298 MPs voted in favor of the corresponding bill No. 0376, exceeding the minimum required threshold of 226 votes.
The loan agreement to support Ukraine between Ukraine as the borrower, the National Bank of Ukraine as the borrower’s agent, and the European Union, represented by the European Commission, as the lender, was signed on May 27, 2026, in Brussels and Kyiv.
The Memorandum of Understanding between Ukraine as the borrower and the EU as the lender (regarding Ukraine’s receipt of macro-financial assistance under the loan to support Ukraine) was signed on May 20, 2026, in Brussels and on May 27, 2026, in Kyiv.
The loan agreement provides for the allocation of up to EUR 60 billion to strengthen Ukraine’s defense and industrial capabilities and EUR 30 billion for budgetary support to the state; specifically, in 2026, it is planned to receive from the EU: up to EUR 28.3 billion to strengthen defense capabilities and procure weapons; EUR 16.7 billion in budget support to ensure macro-financial stability and cover the state budget deficit.
Budget support in 2026 will be provided in two equal parts: up to EUR 8.35 billion under the EU’s macro-financial assistance mechanism; and up to EUR 8.35 billion through the Ukraine Facility.
Repayment of the principal amount of the loan will be made exclusively from future reparations or other compensation payments from russia; if such funds are insufficient, the EU will have no right to claim other Ukrainian assets.
The Memorandum sets out the conditions for receiving up to EUR 8.35 billion in budget support in 2026.
The funds will be disbursed in three tranches, and before each one, Ukraine must implement a set of measures in three areas: revenue mobilization, expenditure efficiency, and public finance management.
Specifically, the conditions for receiving the first tranche of EUR 3.2 billion include draft laws on the abolition of tax exemptions for international parcels and on the taxation of income generated through digital platforms; the extension of the 5% military levy for another three years (already voted on); the update of the public finance management strategy; a new Customs Code in line with EU rules; and the appointment of a head of the State Customs Service.
Other conditions include reforming the simplified tax system for sole proprietors and combating the fragmentation of businesses for tax evasion.
Ukraine expects the first tranche of aid from the EU, amounting to EUR 3.2 billion, to arrive in the coming weeks.
As the Ukrainian News agency earlier reported, on May 26, the Verkhovna Rada refused to introduce taxation on parcels from abroad.
Who we are: About us, Contacts. How we write news and our principles: Editorial code. We did our best. If you found this valuable – please support us.
To request a correction, please send an email.