After four months of exhausting diplomatic back-and-forth and several successive vetoes from Budapest, the European Union definitively approved on Thursday, April 23, 2026, around 1 p.m., on the sidelines of the extraordinary European Council meeting in Brussels, the disbursement of a €90 billion loan to Ukraine – an amount promised as early as December 2025 but blocked since then. The disbursement is accompanied by a nineteenth sanctions package against Russia, specifically targeting the shadow fleet and capital launderers. "The stalemate is over," declared Commission President Ursula von der Leyen, her face showing the strain of the night's negotiations. "This loan is a game-changer for Kyiv until the end of 2027."
The Financial Mechanism: Frozen Russian Assets and Cross-Guarantees
The arrangement is unprecedented in the Union's history. The €90 billion will be disbursed in seven semi-annual tranches between June 2026 and December 2027. Repayment, spread over thirty years, will be primarily covered by the interest generated from frozen Russian sovereign assets in Europe – approximately €211 billion immobilized since 2022, mostly held by Euroclear in Belgium. The annual revenue of about €4.5 billion will cover 70% of the installments. For the remaining 30%, the twenty-seven member states will provide cross-guarantees through the European Stability Mechanism. French Treasury Director Antoine Lévy hailed on LCI "a major legal innovation that paves the way for a future European Treasury."
Orban Lifts Veto in Exchange for Druzhba Pipeline
The night's surprising turn came from Budapest. Viktor Orban, who had been blocking the process since November 2025, finally lifted his veto in exchange for an explicit exemption for Russian oil deliveries to Hungary via the Druzhba pipeline. This exemption, valid until the end of 2028, will allow the Hungarian refinery in Százhalombatta – owned by MOL – to continue receiving nearly 60% of its crude oil from Russia. This derogation, hailed as "a victory for Hungarian energy sovereignty" by Péter Szijjártó, was in contrast denounced by the Baltic states and Poland as "a breach in the European front."
19th Sanctions Package Targets the Shadow Fleet
The new sanctions package, the nineteenth since February 2022, specifically targets three areas according to the official statement published at 2:45 p.m. by the Commission. First, the "shadow fleet": 184 additional oil tankers, illegally transporting Russian crude oil under flags of convenience, are now banned from European ports and from being reinsured by London-based companies. Second, capital launderers: 47 individuals and 22 entities, including Tinkoff Bank and the RDIF investment fund, will have their European assets permanently frozen. Third, exports of dual-use goods: drone manufacturing equipment, military semiconductors, and machine tools.
Zelensky Hails "Moral Victory"
From Kyiv, Volodymyr Zelensky hailed in a video published at 2 p.m. on Telegram "a moral as well as financial victory." "Europe is proving to us today that solidarity is not an empty word. With these €90 billion and this sanctions package, we can hold on until 2028 without depending on a potential American decision," he stated, a transparent allusion to Donald Trump's unpredictability. Ukrainian Finance Minister Sergii Marchenko specified that €38 billion would be allocated to defense (munitions, drones, missile purchases), €30 billion to reconstruction (destroyed energy infrastructure), and €22 billion to the current functioning of the state.
Market Reactions: Euro Stable, Steel Sector Up
European financial markets reacted calmly to the announcement. The euro appreciated by 0.3% against the dollar to $1.108, with no spectacular movement. The European steel sector, however, surged: ArcelorMittal gained 3.8% in Amsterdam, Salzgitter 4.2% in Frankfurt, anticipating massive orders for Ukrainian reconstruction. Dassault Aviation, set to deliver six additional Rafale jets to Kyiv in 2027, was up 2.9% in Paris. Conversely, the ruble collapsed to 113.8 to the dollar on the Moscow parallel market, compared to 102 on Tuesday.
Editorial Opinion
This April 23 agreement marks a historic turning point in European integration. For the first time, the Union is mobilizing the sovereign assets of an enemy state – not by seizing the capital, but by directing its revenues – to finance another state victimized by that enemy. This is a legal revolution, coupled with a political one: Europe is finally agreeing to play the role of a power and not just a common market. The concession made to Viktor Orban on Druzhba leaves a bitter taste, but it is undoubtedly the price to pay to preserve the formal unanimity on which the credibility of the mechanism depends. One risk remains: that this European generosity permanently replaces American support, and that Donald Trump finds an alibi to definitively disengage Washington from the conflict. Ukraine's security, like that of all of Europe, cannot rest on a single financial pillar. It also requires a military and industrial pillar of equal standing – which still needs to be built.
Key Takeaways
- €90 billion loan approved unanimously by the EU on April 23, 2026.
- Repayment primarily covered by revenue from frozen Russian assets (€211 billion immobilized).
- Viktor Orban lifts veto in exchange for an exemption for the Druzhba pipeline until 2028.
- 19th sanctions package: 184 shadow fleet oil tankers, 47 individuals, 22 entities sanctioned.
- Allocation: €38 billion for defense, €30 billion for reconstruction, €22 billion for the functioning of the Ukrainian state.
