EU formally approves EUR 90 bln loan for Ukraine, 20th sanctions package against Russia

The European Union has formally approved a decision to provide Kyiv with a EUR 90 billion loan and adopted the 20th sanctions package against Russia over its war against Ukraine.

The decision was announced on Thursday by the spokesman for Cyprus, which holds the EU presidency. "The written procedures on the amendment to the multiannual financial framework regulation underpinning the EUR 90 billion loan to Ukraine and the 20th sanctions package against Russia have been successfully completed. Both documents were adopted unanimously," he told journalists.

The spokesman said the Cypriot presidency "has been working tirelessly to ensure the EU continues to firmly support Ukraine in defending its sovereignty and territorial integrity."

Cyprus Finance Minister Makis Keravnos, commenting on the decision, said: "Today the Council approved the last element needed for the disbursement of the EUR 90 billion loan to Ukraine. The Cypriot presidency has been working tirelessly to ensure all elements needed for the loan are in place. Disbursement of the loan will begin as soon as possible, providing vital support for Ukraine’s most pressing budgetary needs. The EU remains unwavering in its support for Ukraine’s sovereignty and territorial integrity."

Both measures had previously been blocked by Hungarian Prime Minister Viktor Orban, who used anti-Ukrainian slogans in his election campaign. Following his election defeat, Orban changed his position and lifted his veto on Ukraine-related measures.

The day before, EU member state ambassadors approved both the amendment to the EU’s multiannual financial framework regulation needed to enable disbursement of the EUR 90 billion loan to Ukraine and the 20th sanctions package, after which a written procedure was launched in the Council. The first loan disbursement is expected in the second quarter of this year.