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Ukraine is set to spend nearly €6 billion on drones from the first EU tranche

Stanislav Sereda
Stanislav Sereda Journalist
Ukraine is set to spend nearly €6 billion on drones from the first EU tranche
Drones
The European Union is preparing to disburse the first tranche of over €9 billion to Ukraine as early as June, as part of a new €90 billion loan programme agreed at the end of 2025 to support the country’s defence and budget amid the war with Russia.

According to Politico, the European Commission may approve a memorandum in the coming days that will pave the way for the first disbursements to Kyiv. Of this amount, around €5.9 billion is earmarked for the purchase of drones for the Ukrainian army, with a further €3.2 billion set aside to cover budgetary expenditure, including the payment of military salaries and the funding of public sector needs.

Officials in Brussels stress that the first aid package will be used on a ‘drones for Ukraine – in Ukraine’ basis, meaning the funds will go towards purchasing Ukrainian drones from domestic manufacturers.

The new €90 billion EU loan programme was agreed after Europe failed to reach a consensus on the direct use of frozen Russian state assets to finance Ukraine. Instead, the European Union decided to issue joint debt to support Kyiv.

Half of the funds are planned to be allocated in 2026, with the remainder in 2027. However, the EU already acknowledges that even this funding may not be sufficient if the war drags on.

According to estimates by European officials, Ukraine’s budget deficit in 2026–2027 could exceed €135 billion. Brussels also states that it will continue to press its G7 partners – notably Canada, Japan, the United States and the United Kingdom – to find additional funding for Ukraine.

At the same time, the loan repayment mechanism is still under discussion. The EU acknowledges that if Russia refuses to pay reparations after the war ends, frozen Russian assets could be used to repay the debt.

As a reminder, it was previously reported that the first tranche of the EU loan to Ukraine could be postponed until June.

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