EU budget disputes put Ukraine at risk of never receiving €50B in crucial aid.

Disagreements within the EU regarding the budget have put the provision of €50B over four years to Ukraine at risk; this issue should be decided at the summit on December 14-15. According to the FT, EU member states are far from agreement on replenishing the common budget, including funds for Ukraine.

Ukraine is also warning its partners that the uncertainty regarding support packages from the US and Europe endangers the country’s macro-financial stability. The funds offered by the EU are designed to maintain Kyiv’s solvency until 2027.

The FT calls EU funding for Ukraine “political football” in the context of a broader debate over EU budget priorities arising from the commission’s decision to combine Kyiv’s support in the proposal with other funding requests to top up the 2021-2027 budget.

Aid to Ukraine would consist of €17B in grants and €33B in loans, combined with requests for €15B for migration, €10B for investment in strategic technologies, and almost €19B for interest payments on joint EU borrowing.