In her letter to EU member states, European Commission President Ursula von der Leyen raises the issue of Ukraine’s financing needs and outlines the possible parameters for support, stressing that Kyiv faces a significant funding shortfall.

Referring to the latest leaders’ summit and their commitment to supporting Ukraine, she notes that “solutions must be found to cover Ukraine’s urgent funding needs for 2026–2027, including military and defense support.”

Von der Leyen explains that, according to preliminary IMF projections—even if the war ends by late 2026 and all currently pledged international aid is taken into account—Ukraine will still face a substantial financial gap that will require new funding.

The European Commission sets out three main options for additional and timely support:

1. Financing through grants from member states.
2. A loan with limited retroactivity, funded through EU borrowing on the markets.
3. A loan with limited retroactivity linked to revenues or balances derived from frozen Russian assets.

The key conditions outlined by the Commission President are the rapid availability of funds and a fair sharing of the burden among international partners.

The Commission stresses the need for collective commitment and swift agreement, especially ahead of the December European Council, in order to maintain pressure on Russia and create the conditions for a halt in hostilities and future peace negotiations.