The European Union approved a €90 billion ($106 billion) loan package for Ukraine on Thursday, ending months of deadlock after Hungary and Slovakia lifted their vetoes following the resumption of Russian oil flows through the Druzhba pipeline.
The decision came as EU leaders gathered in Ayia Napa, Cyprus, for a two-day summit focused on global politics, where the mood shifted quickly from relief to realism. While the loan and a new round of sanctions on Russia were hailed as progress, the celebration was tempered by deep divisions over Ukraine’s future in the bloc.
Ukrainian President Volodymyr Zelenskyy, who attended the talks, appeared visibly uplifted by the financial backing, telling reporters the funds would strengthen Ukraine’s army and boost domestic production. European Council President António Costa declared the package “promised, delivered, implemented” on social media, later emphasizing that advancing Ukraine’s EU membership must now be the priority.
But the path to membership remains fraught. Estonian Prime Minister Kristen Michal advocated for accelerating Ukraine’s accession, while Croatian Prime Minister Andrej Plenković dismissed the idea of Kyiv joining by January 2027 as unrealistic, noting that even Croatia’s relatively swift 2013 entry took six years to negotiate.
The loan package itself is tied to a fragile geopolitical shift: Hungary and Slovakia withdrew their opposition only after crude oil deliveries resumed via the Druzhba pipeline, which crosses Ukrainian territory. Both countries confirmed Thursday that flows had restarted after a nearly three-month halt, which Ukrainian officials attributed to Russian drone attacks.
Despite the resumption, Ukraine and most of its Western allies continue to oppose purchasing Russian oil, which has helped fund Moscow’s war effort now in its fifth year. The approval of the EU’s 20th sanctions package against Russia was also part of Thursday’s package, though it had been delayed since February due to the same Hungarian and Slovak objections.
The funds are expected to be disbursed in the coming weeks and months, intended to support Ukraine’s war-ravaged economy and military needs for two years. However, leaders acknowledged that financial aid alone does not resolve the strategic question of Ukraine’s long-term Western integration.
For now, the EU faces a stark contrast: unity in sustaining Ukraine’s immediate survival, but divergence on whether and how to bring it into the union. The turquoise waters of Cyprus offered a scenic backdrop to the summit, but they could not conceal the enduring fractures among member states over the pace and conditions of enlargement.
Why did Hungary and Slovakia drop their vetoes on the EU loan for Ukraine?
Hungary and Slovakia lifted their opposition after Russian oil flows resumed through the Druzhba pipeline, which had been halted for nearly three months due to damage Ukrainian officials blamed on Russian drone attacks.
Is Ukraine likely to join the EU by January 2027?
No — Croatian Prime Minister Andrej Plenković stated it is not realistic for Ukraine to join the EU by January 2027, noting that even Croatia’s accession took six years to negotiate despite being relatively fast.
