German Chancellor Friedrich Merz has urged the European Union to boost financial aid to Ukraine as the nation braces for a substantial budget shortfall in 2027. During a summit of EU leaders in Brussels, Merz emphasized the importance of sustained support for Ukraine, highlighting the need for European countries to assist Kyiv through the upcoming winter amid ongoing Russian aggression.
Ukraine’s current financial aid from the EU, which includes a €90 billion loan to cover needs through 2027, may fall short of the required funds, according to Ukrainian officials. As Kyiv faces intensified economic challenges from continued Russian strikes, the European Commission is collaborating with Ukrainian authorities to determine the precise funding needed for the next year.
Amid these discussions, EU leaders have revisited the idea of utilizing approximately €200 billion in frozen Russian central bank assets to help finance Ukraine. However, this proposal encounters considerable resistance, particularly from Belgium, where most of these assets are held.
Merz has dismissed suggestions to transfer some of the frozen assets to the United States as part of peace negotiations with Russia, insisting that decisions regarding these assets should remain within European jurisdiction.
Ukrainian President Volodymyr Zelensky is anticipated to meet with European leaders to secure further support, addressing the escalating military and economic pressures his country faces. These discussions are expected to focus on ensuring adequate funding to maintain Ukraine’s economic stability and bolster its defense capabilities against ongoing Russian attacks.