EU Unlocks USD1.38B Ukrainian-Made Drone Defense

(MENAFN) The European Commission has released $1.38 billion (€1.24 billion) to Ukraine from the defense strand of the EU's Ukraine Support Loan, a package worth roughly $100 billion, the Commission said in a statement on Wednesday.

The funds are earmarked for Ukrainian-made drones, drone interceptors, drone ammunition and missiles, according to the statement.

Ursula von der Leyen, president of the European Commission, framed the payment as a response to Moscow's campaign against civilians.

“Russia is continuing its deliberate strategy of terror - trying to make daily life unbearable for Ukrainians,” von der Leyen said.

Loan structure: Across 2026 and 2027, about $66.8 billion of the facility is reserved for defense and about $33.4 billion for budgetary assistance. The EU plans to pay out about $31.5 billion in 2026 alone to strengthen Ukraine's defense industrial base, with further defense-component disbursements expected in the coming weeks.

Total support: Since the war began, the EU and its member states have committed about $254.5 billion to Ukraine, including about $4.2 billion drawn from proceeds of immobilized Russian assets. About $36.2 billion in financial support remains available to Kyiv for the rest of 2026.

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