European Commission expects progress on EUR 90B Ukraine loan blocked by Hungary

Amid reports that Ukraine has agreed to support EU efforts to repair the Druzhba oil pipeline, the European Commission expects progress on a loan for Ukraine for 2026-2027 that is currently being blocked by Hungary.

European Commission chief spokesperson Paula Pinho said this at a briefing in Brussels on Tuesday, according to an Ukrinform correspondent.

According to Pinho, there are "no news" regarding both the 20th EU sanctions package against Russia and the loan for Ukraine. However, she stressed that the European Commission remains committed on sanctions and "we are engaging in the discussions with the Council with a view to approving the 20th package."

She added that the loan for Ukraine is extremely important.

"The discussions continue, and we hope and we are confident that we could see some progress in these discussions soon. Ideally, it would be before the European Council [meeting on Thursday]," the spokesperson said.

Pinho recalled that in December 2025, all EU member state leaders agreed on providing a EUR 90 billion loan to Ukraine for 2026-2027, and the European Commission expects all leaders to honor their commitments.

As previously reported, the European Union has offered Ukraine assistance and funding to accelerate repair works on the Druzhba oil pipeline against the backdrop of Hungary's uncompromising position. Budapest continues to block both the EU loan for Ukraine and the 20th sanctions package against Russia, linking both issues to the restoration of oil transit through Ukrainian territory.

In a letter to European Commission President Ursula von der Leyen and European Council President Antonio Costa, Ukrainian President Volodymyr Zelensky confirmed that Ukraine remains a reliable energy partner for the EU and rejected claims that it is deliberately obstructing the resumption of oil transit via the Druzhba pipeline.

Photo: eumetsat.int