BRUSSELS – The European Union formally approved a €90 billion loan package for Ukraine and its 20th round of sanctions targeting Russia on April 23, 2026. This significant development came after Hungary and Slovakia withdrew their opposition following the successful resumption of Russian oil flows through the Druzhba pipeline.
The unanimous agreement among member states was confirmed by the Cypriot presidency of the European Union, which stated that the written procedure for adopting both measures had been completed. Cypriot Finance Minister Makis Keravnos indicated that the disbursement of the much-needed funds for Ukraine would commence as soon as possible.
The €90 billion loan is intended to provide crucial financial and military support to Ukraine for the years 2026-2027. This package is expected to cover approximately two-thirds of Ukraine's projected budget gap for this period, with €45 billion allocated annually. The funds are borrowed on capital markets, backed by the EU budget, and Ukraine is not expected to repay the money from its own funds, with repayment contingent on Russia paying reparations.
Ukrainian President Volodymyr Zelenskyy welcomed the unblocking of the loan and sanctions, emphasizing their importance for Ukraine's defense and its relationship with the EU. European Commission President Ursula von der Leyen and European Council President António Costa also lauded the decision, highlighting Europe's firm, united, and unwavering support for Ukraine.
The approval of these measures had been delayed for months due to objections primarily from Hungary, supported by Slovakia. The deadlock was resolved after Ukraine completed repairs to the Druzhba pipeline, which had been damaged in January, and resumed pumping Russian oil to Hungary and Slovakia. Slovakia's Economy Ministry confirmed that oil deliveries to Slovakia via the Druzhba pipeline were restored at 2:00 a.m. local time on April 23, with Hungary's MOL Group also confirming receipt of crude oil.
The 20th sanctions package against Russia includes further maritime and energy restrictions aimed at limiting Russia's ability to export oil, a financial sector crackdown, and trade and industrial bans. Over 40 additional ships will be added to the list of vessels banned from EU ports, and a comprehensive ban on maritime services linked to Russian oil transport will be introduced. Estonia's Prime Minister Kristen Michal urged the EU to maintain its pace in confronting the Russian threat, stating that peace comes from strength and continued support for Ukraine.