EU rejects Ukraine’s request for advance funding, demands reform implementation

Brussels has rejected Kyiv’s request for early disbursement of funds from tranches planned for 2027, insisting that Ukraine first fulfill the reform conditions required to unlock approximately €34 billion in support already earmarked for 2026.

This was reported by The Financial Times.

Kyiv identified additional military needs of approximately €23.9 billion and asked the European Commission to help cover the shortfall through a €90 billion EU loan. The loan was intended to cover the bulk of Ukraine’s financial needs in 2026 and 2027, providing up to €45 billion annually subject to the achievement of certain reform milestones.

However, only €15.7 billion has been disbursed in the current year — partly due to delays in meeting reform requirements. The Verkhovna Rada has struggled to pass promised changes, and this has served as the basis for refusing additional support this year.

President Volodymyr Zelensky stated the urgent need for additional funding — in particular, to scale up the production of drones and interceptors ahead of winter. In an interview with the FT, he denied reports of tense discussions with European Commission President Ursula von der Leyen over the reform conditions.

“We had a very good meeting with Ursula and her team, and she understands that they must help Ukraine,” Zelensky said.

According to him, Europe must help Kyiv close the funding gap “because we are protecting them.” Zelensky also said he explained to von der Leyen that due to wartime pressures, reforms cannot always be carried out according to a normal schedule.

“Right now we need to defend ourselves, and some decisions — financial decisions — cannot be delayed. Because this is a matter of our stability,” the president said.

European Commissioners Valdis Dombrovskis and Marta Kos sent a letter to the Speaker of the Rada, noting that Ukraine can still receive additional financial assistance in 2026 provided the requested reforms are implemented. “Avoiding any weakening of Ukraine’s framework regarding politically exposed persons is of utmost importance,” the letter, seen by the FT, states.

The key issue in this context remains the Kachka-Kos legislative package, which removes law enforcement bodies from presidential control through a competitive staff selection process in which “international experts” hold a decisive vote. Western media also report that EU leadership has doubts about the validity of Kyiv’s calculations regarding the volume of additional funding needed.