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Tuesday, June 30, 2026

EU releases €3.9 bln to boost Ukraine's drone production

30 June 2026 18:44 (UTC+04:00)
EU releases €3.9 bln to boost Ukraine's drone production
Ulviyya Poladova
Ulviyya Poladova
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The European Commission disbursed a portion of the first tranche of the EU’s defense-related loan package to Ukraine, totaling €3.9 billion out of a planned €6 billion, AzerNEWS reports.

According to the European Commission, the funds are part of a broader €90 billion EU credit facility aimed at supporting Ukraine’s armed forces. The payment will be fully allocated to the procurement of drones produced in Ukraine.

"The European Commission is starting today the disbursement of €3.9 billion as the first payment of the first tranche of around €6 billion, intended for the purchase of drones," the Commission said in its statement.

The remaining portion of the first tranche is expected to be disbursed at a later stage as part of the ongoing financial support mechanism.

In February 2026, the European Parliament and the Council adopted Regulation (EU) 2026/467 establishing the Ukraine Support Loan (USL). The Regulation provides for up to €90 billion in support to Ukraine. The support is structured around two complementary components: assistance to strengthen Ukraine's defence capabilities and defence industrial capacities, and support to ensure the continued functioning of the state, maintain essential public services and strengthen economic resilience.

Since the start of the war in Ukraine, the EU and its Member States have provided €211.3 billion in overall support to Ukraine, including €3.8 billion from the proceeds of immobilised Russian assets.

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