Ukraine Could Redirect Up to €1 Billion in EU Loans to Joint Defense Projects, Report Says
A confidential proposal would let Ukraine channel up to €1 billion of existing EU loan funds into joint defense projects through an instrument currently funded at €300 million, Euronews reported; the plan is not finalized and no money has been transferred.
Ukraine could channel up to €1 billion in existing EU loan funds into joint defense projects under a confidential proposal now circulating among member states, Euronews reported Monday.
The proposal would expand a defense instrument currently funded at €300 million. It involves redirecting money Ukraine is already entitled to borrow, not new funding, and no money has been transferred. The plan has not been finalized.
EU ambassadors are expected to discuss the proposal on Wednesday, with officials aiming for agreement by the end of the year, after which member states would need to approve it, according to the report.
The EU has been expanding defense-industrial cooperation with Ukraine, including a Ukraine Defence Industrial Partnership and a €1 billion drone disbursement announced in July.