The European Union on Thursday approved a 90-billion-euro ($106 billion) loan package to help Ukraine meet its economic and military needs for two years after oil began flowing through a key pipeline to Hungary and Slovakia, ending months of political deadlock.
The EU also approved a new raft of sanctions against Russia over its war on Ukraine. The measures were prepared early this year and had been set to be announced in February to mark the fourth anniversary of the conflict, but Hungary and Slovakia opposed the move. The loan package is expected to be available in coming weeks and months.
What the Right Is Saying
Conservative critics in Europe expressed concerns about the financial burden on EU member states and questioned the long-term sustainability of lending to Ukraine. Some right-leaning analysts argued that the EU should have secured stronger guarantees for repayment before approving such a large package.
Slovak Prime Minister Robert Fico, who had been among those blocking the aid, offered a cautious welcome to the pipeline resumption. "Let's hope a serious relation between Ukraine and the European Union has been established," Fico said, adding that he still did not believe the pipeline was damaged and alleged it "was used in the current geopolitical battle."
Hungarian officials, including Prime Minister Viktor Orbán who was recently defeated in an election, had accused Ukraine of deliberately delaying repairs to the Druzhba pipeline — an allegation Zelenskyy denied. Critics on the right also raised concerns about using frozen Russian assets as collateral, which was blocked by Belgium.
What the Left Is Saying
Progressive lawmakers and pro-European officials celebrated the loan package as a critical demonstration of Western solidarity with Ukraine. European Council President António Costa posted on social media: "Promised, delivered, implemented."
Ukrainian President Volodymyr Zelenskyy thanked his European partners for their support upon arriving at an EU summit in Cyprus. "We will work to make sure the funds are delivered as soon as possible," he said. "This will strengthen, of course first of all our army, Ukrainian forces, and allow us to boost production."
Supporters argued that the aid is essential for Ukraine's survival as it enters its fifth year of war against Russian forces. Progressive commentators noted that the sanctions package targets Russia's shadow fleet of oil tankers and banks, attacking what they called the financial core of Moscow's war machine.
What the Numbers Show
The EU loan package totals 90 billion euros, equivalent to approximately $106 billion, designed to support Ukraine for two years. The funds were originally intended to be backed by frozen Russian assets, but Belgium blocked that approach since most of those assets are held in Belgian financial institutions.
The Druzhba pipeline had been blocked for nearly three months after Russian drone attacks damaged infrastructure in Ukraine. Oil deliveries to Hungary and Slovakia resumed on Thursday, allowing those two countries to resume their imports of Russian energy — a practice most other EU members have abandoned.
The new sanctions target more than 40 ships believed to be part of Russia's shadow fleet transporting oil illicitly. The measures also target a number of banks and impose a ban on Europeans using Russian cryptocurrency. Approximately 60 more entities were added to the EU sanctions list, which now includes over 2,600 Russian officials and organizations.
The Bottom Line
The loan package represents the EU's largest single aid commitment to Ukraine since the war began, providing crucial economic and military support as Kyiv faces a fifth year of conflict. The breakthrough came after Hungary lifted its veto following the resumption of Russian oil flows through the Druzhba pipeline.
The incident has renewed calls within the EU for reforming decision-making processes that require unanimous consent, which can allow individual member states to block collective action. Several top officials have advocated for more majority voting in recent months.
The sanctions package, also approved Thursday, targets Russia's energy revenue — the primary funding source for Moscow's war effort according to analysts. Oil revenue is considered the linchpin of Russia's economy, allowing President Vladimir Putin to fund military operations without causing domestic inflation or currency instability. The EU will continue debating further measures as the war continues.