The Verkhovna Rada, Ukraine’s parliament, has ratified both the Memorandum of Understanding (MoU) and the Agreement with the European Union on a €90bn ($104bn) Ukraine Support Loan, according to official statements published on the legislature’s website.
The vote, which saw 298 deputies supporting the motion, enables a major EU assistance mechanism for Ukraine covering the years 2026 and 2027.
Of the entire €90bn package, €60bn is earmarked for defence-related expenditure.
The remainder is directed towards budget support, with the stated aim of maintaining macro-financial stability and covering the state budget deficit.
President Volodymyr Zelensky submitted the bill to parliament on the ratification of this agreement on 28 May 2026.
For 2026, the agreement specifies up to €45bn in total support.
This is split into two principal areas: a defence component of up to €28.3bn, which Ukraine intends to use for weapons procurement and strengthening the national defence industry, and a budgetary component of €16.7bn designated for financial stability and deficit coverage.
Further details of the budget component reveal that up to €8.35bn is to be offered as direct macro-financial assistance, while an additional €8.35bn will come via the Ukraine Facility mechanism.
The MoU outlines a tranche system for the allocation of macro-financial assistance within the budget segment.
Three payments are planned: €3.2bn ($3.6bn), €3.7bn ($4.2bn), and €1.45bn ($1.65bn).
Each payment comes with distinct requirements for Ukraine to fulfil before funds are released.
Among the preconditions for the first tranche are legislative changes concerning the removal of preferential taxation for international parcels and the taxation of digital platforms.
President Zelensky commented on the development in a post on X, stating: “I am grateful to all the MPs who so promptly ratified the agreement with the European Union on €90 billion in support for Ukraine over two years.
“This was one of the most important votes – one that demonstrates the constructive nature of our joint work and our readiness to hear one another. I am also grateful to our European partners for their readiness to stand with Ukraine and provide meaningful support for our defence, our diplomacy, and our recovery.”
Ukraine anticipates receiving €28.3bn in defence funding through the Ukraine Support Loan in 2026.
The initial defence instalment of €5.9bn is intended for domestic drone manufacturing, bolstering the defence sector, and providing immediate supplies for frontline operations.
Recently, Ukraine’s Defence Procurement Agency DOT finalised its largest procurement by value to date, contracting for 155mm long-range artillery rounds.
