Dombrovskis: EU financial aid for Ukraine 'not be disbursed in one go'

The proposals the EU puts forward today work for Ukraine, the EU and its member states, EU Commissioner Valdis Dombrovskis said at a press conference on addressing Ukraine's financing needs for 2026–2027, Report informs.

According to the commissioner, the proposals "are legally robust, fully in line with EU and international law."

"Having listened carefully to all Member States, we propose to set up a robust system that builds on the existing safeguards we have created over the last years. In a spirit of solidarity, we call on Member States to provide guarantees to underpin the loan. These guarantees ensure that the EU borrowing is fully protected and ensure fair burden sharing among Member States," he said.

"And the Reparations Loan is without prejudice to the claims of the Central Bank of Russia," he added.

Dombrovskis noted that the proposals also provide for mechanisms to deter any actor facilitating enforcement of claims on behalf of Russia, or actors sponsored by Russia, be it inside or outside of the Union.

"We are also proposing today provisions for the continued immobilisation of Russian assets in the EU. Russia's war on Ukraine is not only a flagrant breach of the international order. It represents a major distortion of the EU economy," he stressed.

This regulation will work in parallel with the sanctions regime, Dombrovskis said.

In terms of volumes of financing, the commissioner noted, there are around €210 billion worth of immobilised assets in the EU.

"This is, therefore, the maximum loan amount we could propose. It would not be disbursed in one go, but built to respond to Ukraine's evolving needs. These would be spelled out in its financing strategy, to be submitted every year. We will also keep €45 billion of this amount in reserve to repay existing loans, ensuring that the ERA loans do not add to Ukraine's debt burden," Dombrovskis said.

He also emphasized that the proposals are underpinned by Ukraine meeting essential pre-conditions to receive support.