(MENAFN- Kuwait News Agency (KUNA)) BRUSSELS, Nov 17 (KUNA) -- The European Commission confirmed on Monday that Ukraine will need more than 70 billion euros (80 billion dollars) in additional financial assistance in 2026 to maintain its defense capabilities and fund government expenditures as the war with Russia continues.
The Commission explained in an official document distributed to EU member states that this estimate comes as the bloc discusses the possibility of using frozen Russian assets to finance a new loan aimed at covering Ukraineآ's expected budget deficit.
European Commission President Ursula von der Leyen said in a letter attached to the document that "the scale of Ukraineآ's financing gap is significant", calling on member states to adopt a "rapid solution" to ensure continued financial support for Kyiv.
According to International Monetary Fund estimates, Ukraineآ's financial needs could exceed 70 billion euros in 2026 and reach 64 euros billion in 2027.
The document noted that Ukraine can cover nearly half of its 2026 military expenditure requirements, with total costs estimated at 103 billion euros leaving a funding gap of 52 billion euros in defense support and an additional 20 euros billion in financial assistance, a total of 72 billion euros to be secured by allies.
The Commission added that the financial burden will largely fall on the European Union, explaining that it has proposed a plan to use frozen Russian central bank assets to generate a 140 billion euros compensation loan.
However, the plan faces opposition from Belgium, which hosts the majority of the frozen assets and fears possible legal repercussions from Moscow.
Last week, Commission President von der Leyen stated that using frozen Russian assets represents "the most effective method" for financing Ukraineآ's future support, hoping to reach an agreement ahead of the upcoming European Council summit scheduled for December. (end)
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