The EU took a step towards approving EUR 50 billion in aid for Ukraine: Hungary remained silent

The Permanent Representatives of EU member states reached a partial agreement at a meeting in Brussels on January 10, paving the way for the allocation of EUR 50 billion for Ukraine over the next four years. EU countries approved a "partial negotiating mandate" for the creation of a new specialized instrument to support Ukraine's reconstruction.

The EU is looking for money for Ukraine

The European Union is actively seeking ways to provide financial assistance to Ukraine. At the January 10 meeting in Brussels, the EU took the initial step to approve the disbursement of 50 billion euros for Ukraine, with Hungary not blocking the decision for another four years, as confirmed by the EU Council.

European countries, following the end of the presidency, endorsed a "partial negotiation mandate" regarding the proposal to establish a new specialized instrument supporting Ukraine's reconstruction - the Instrument for Ukraine, designed for the next four years.

However, this mandate does not address budgetary issues, such as the total amount of financing for the Facility for Ukraine and the proportion covered by grants and loans. These details will be determined during negotiations on the mid-term review of the EU budget.

The Ukraine Fund will consolidate EU budget support for Ukraine into a single instrument, providing the country with consistent, predictable, and flexible support from 2024 to 2027, tailored to the unprecedented challenges of supporting a nation at war. This emphasis is highlighted in the communication from the EU Council.

Hungary is against again

Despite Hungary not fully supporting the proposal, it refrained from blocking it. The final release of EUR 50 billion for Ukraine requires a positive decision from the European Council, which includes EU leaders, including Hungary's Prime Minister, Viktor Orban.

Orban has indicated that he may withdraw his veto on the EU aid package for Ukraine, amounting to EUR 50 billion, under the condition that the financing undergoes annual verification. Meanwhile, media reports suggest that the European Union is preparing a “plan B”, involving EUR 20 billion in financial aid for Ukraine if Orban obstructs the primary plan.

Vincent van Peteghem, the Finance Minister of Belgium, which currently holds the EU presidency, affirmed that the European Union remains committed to providing unwavering support to Ukraine for as long as necessary.