Thanks to the recent approval of an $8.1 billion loan from the International Monetary Fund, Ukraine's financial stability is secured until at least May 2026. This alleviates acute fears of budget depletion at the end of March and gives European leaders additional time to overcome Hungary's veto. This was reported by Politico, writes UNN.
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Ukraine's military budget is less depleted than politicians feared, and the country can sustain itself until early May. This allows us to break the political deadlock ahead of the EU leaders' summit without undue haste.
Hungarian Prime Minister Viktor Orbán links the blocking of financial support to the cessation of Russian oil transit, claiming that Ukraine is delaying the restoration of the damaged section of the pipeline.
The Ukrainian side rejects these accusations, emphasizing the critical destruction of infrastructure after the January drone attack. EU diplomats hope that a change in the political climate in Hungary after next month's elections will allow the unblocking of 90 billion euros needed to finance Ukrainian defense.
Bilateral support and long-term plans
Amidst pan-European discussions, individual countries continue to strengthen individual assistance. In particular, the Dutch government is considering allocating 3.5 billion euros annually to support Ukraine within the framework of bilateral agreements until 2029. This strategy is designed to ensure stable funding for Kyiv regardless of the results of votes in Brussels, which is critically important given Ukraine's budget deficit, which this year reaches 50 billion dollars.