World · 19 December 2025
EU agrees to €90B loan for Ukraine
European Union leaders agreed to provide Ukraine with a €90 billion interest-free loan for 2026-27 after abandoning plans to use frozen Russian assets. Belgium opposed the asset-backed scheme over legal risks and retaliation fears, demanding unlimited financial guarantees other states couldn't provide. The loan will be funded through EU borrowing backed by the bloc's budget, with Ukraine only repaying once Russia pays war reparations. The deal strengthens Ukraine's position in upcoming peace negotiations.
Reported by LBC · How we write briefs