The European Union has transferred an additional 1.6 billion euros to Ukraine as part of macro-financial assistance, which is secured by the income from frozen Russian assets. This was reported by Baltimore Chronicle, with reference to the European Commission’s website (EC). It was noted that these funds were received on the previous banking day in the form of so-called “unexpected profits” earned from interest on frozen Russian Central Bank assets held in depositories. The EU plans to continue supporting Ukraine with these funds.
According to the EC, 90% of the first two installments were used to fund Ukraine’s defense efforts through the European Peace Facility (EPF). The remaining amount was transferred via the Ukraine Credit Cooperation Mechanism (ULCM), which was established in October last year. For the third installment, 95% of the funds will be used through ULCM, and 5% through EPF. “This is part of the EU’s ongoing commitment to support Ukraine for as long as necessary,” the statement emphasized.
The EU plans to allocate a total of 45 billion euros to Ukraine. The second installment, amounting to 1 billion euros, was transferred in the spring of 2025, while the first was in 2024. The total approved amount of macro-financial assistance is 18.1 billion euros, which represents the EU’s share in the G7 credit program aimed at providing Ukraine with 45 billion euros, to be repaid from the income generated by frozen Russian assets, as stated on the European Commission’s website.
As Ukrainian Prime Minister Denys Shmyhal mentioned in March, the funds provided by the EU are in the form of loans, which the country will repay using the interest from frozen Russian assets.
Earlier we wrote that U.S. approves $322 million military aid packages for Ukraine: HAWK and Bradley.