European Commission President Ursula von der Leyen has warned member states that the European Union must agree by December how it will cover Ukraine's needs for the next two years - a total of 135.7 billion euros, News.bg reports.
The estimates prepared by the Commission and the International Monetary Fund are made with the key assumption that the full-scale war will end by the end of 2026. This is the first official EU document with such a time forecast, although the ceasefire remains uncertain, Euronews reports.
In a letter to EU leaders, von der Leyen stressed the need for a “swift and clear commitment“, which must be achieved at the December summit. She warns that Europe “cannot afford paralysis, neither through hesitation nor by seeking perfect solutions that do not exist.” The document notes that Ukraine’s needs for 2026-2027 are “particularly acute”: €83.4 billion to finance the army and €55.2 billion to stabilize the economy and fill the budget deficit.
Von der Leyen outlines three possible ways to cover the amount. The first is through voluntary bilateral contributions from member states, which, however, burden national budgets. The second option provides for a common European debt withdrawal, which requires unanimous approval – a difficult task due to Hungary’s objections. The third option involves using the proceeds from the frozen assets of the Russian Central Bank through the so-called a reparations loan that would be repaid by Moscow in the long term.
The third option is the easiest financially for the EU, but carries legal risks. Belgium, which is home to Euroclear, the institution that holds the bulk of Russian assets, is demanding guarantees against possible Russian legal claims. Von der Leyen met Belgian Prime Minister Bart de Wever last week, but so far progress has been limited.
The Commission President concludes the letter with a warning that the EU has no time to waste: a decision must be taken by December to ensure sustainable military and economic support for Ukraine until the war is expected to end in 2026.