EU is considering alternative to "reparations loans": Ukraine may receive €90 billion in grants in 2026-2027
The European Union is ready to consider an alternative mechanism for financing Ukraine if the project of "reparation loans" based on frozen Russian assets fails to materialize.
This was reported by Censor.NET with reference to the European Pravda.
According to the European Commission's proposals of November 17, the EU may provide Ukraine with non-repayable grants totaling €90 billion in 2026-2027.
Grants
If the "reparation loans" model fails, the European Commission proposes that EU member states make voluntary bilateral contributions—grants that would go to the EU budget and from there be transferred to Ukraine.
"The most direct way to provide the necessary financial support would be for member states to make voluntary bilateral contributions, i.e., grants, to the European Union on the basis of contribution agreements to be approved by member states in accordance with their national procedures," the document states.
Installment payments
The Commission clarifies that this option does not create new joint debt obligations, but will have a direct impact on the national budgets of EU countries. To reduce the short-term burden, contributions are proposed to be phased in from 2026 and distributed according to the gross national income of the states.
"For support in the form of grants... the minimum annual target support of €45 billion... is based on the assumption that the war will end in 2026," the proposals say.
