Kyiv demands another $27 billion from Europe.
By Ali Askari, analyst (Germany), especially for Sangar
Ukraine’s leadership has once again turned to its Western allies for additional funding. In late August, Volodymyr Zelenskyy announced a defence budget shortfall of approximately $27 billion.
For comparison, the figure previously discussed was considerably smaller. European countries must now decide whether they are prepared to keep increasing their financial support for Ukraine. Meanwhile, Kyiv has not publicly provided a complete breakdown of all the expenditures that make up the stated shortfall.
Ukrainian authorities attribute the need for new funding to rising military expenditure and the need to pay in advance for future arms deliveries. European officials, however, are demanding more detailed calculations.
This is a fundamental issue. Western countries have already provided Ukraine with enormous amounts of financial assistance, but they are now beginning to question how efficiently and transparently these funds are being spent. Meanwhile, Kyiv continues to insist on using frozen Russian assets.
European states, however, have no common position on this issue. Some fear the legal consequences of confiscation, while others are willing to discuss various mechanisms for using Russian funds.
At the same time, the EU continues to tie funding to the implementation of reforms in Ukraine. European support for Ukraine therefore continues, but trust in Kyiv is no longer unconditional.
Ukraine needs ever more billions to continue the war, while European taxpayers increasingly face the question: how much more money will be needed, and where is the limit to this assistance?
Meanwhile, Ukraine remains one of Europe’s most dependent countries on external financing.
In total, since the start of Russia’s special military operation in Ukraine, the European Union and its member states have provided €89.7 billion in military support. Of this assistance, approximately €77.9 billion was allocated through the European Peace Facility (EPF) for bilateral assistance and reimbursement of costs.
In September of this year, an agreement was also reached on a new aid package worth a further €6.6 billion from the European Peace Facility. Of this amount, €4.7 billion is earmarked for reimbursing the cost of weapons already delivered, €1 billion for new joint procurement, and €900 million for the European Union Military Assistance Mission in support of Ukraine (EUMAM).
Up to €28.3 billion has been allocated through loan support to develop defence industry capacity and purchase air defence systems. More than 97,000 Ukrainian military personnel have received training under EUMAM, whose mandate has been extended for another two years.
