Zelenskyy warns EU delay on €90b loan threatens army and drone production
Photo: Ukrainian President Volodymyr Zelenskyy (Getty Images)
Volodymyr Zelenskyy stated in an interview with Le Monde that unblocking a €90 billion EU loan is critically important for Ukraine and its defense capabilities. Without the funding, the army and drone production will suffer.
“Providing Ukraine with the loan is a position agreed by all EU leaders at the end of 2025. The alternative to this step is now a question for the European Union,” Zelenskyy said.
He noted that Ukraine would be grateful if EU leaders managed to unblock the loan.
If it is not unblocked, Kyiv hopes for an alternative that would allow it to receive the funds; otherwise, the Ukrainian army will be underfunded.
“Production of drones will be underfunded — long-range drones, interceptor drones, as well as air defense systems, because we allocate funds from there for both European air defense systems and American PAC-3 missiles,” the president added.
The head of state stressed that this is a risk for everyone, for European security.
“I believe there will be no collapse, and Europeans will resolve this issue as well,” Zelenskyy said.
Orbán blocks loan for Ukraine
Hungary has blocked the provision of a €90 billion EU loan to Ukraine. In order for the funds to be transferred, approval from all EU member states is required.
Budapest began blocking the loan after the Druzhba oil pipeline stopped operating following a Russian strike at the end of January.
Hungary claims that the transit of Russian oil through the Druzhba pipeline allegedly stopped on Ukraine’s initiative.
Recently, Ukraine accepted the EU’s proposal to repair the pipeline. The work will be carried out with financial and technical support from the EU.
Despite this, Hungary continues to block the transfer of funds to Ukraine. Prime Minister Viktor Orbán said he will not lift the veto until the supply of Russian oil through Ukrainian territory is restored.
Despite Hungary's systematic blocking, the EU continues technical preparations to provide Ukraine with the €90 billion loan. In Brussels, efforts are focused on ensuring that political obstacles do not halt the process of financial support.
Leaders of EU member states gathered on March 19 in Brussels to discuss urgent issues such as the war in Iran and support for Ukraine. However, despite heated debates, they failed to convince the Hungarian prime minister to lift his veto.
After the summit, European Commission President Ursula von der Leyen said the EU will provide Ukraine with the €90 billion loan “one way or the other,” despite Hungary’s blockade.
EU members have not only criticized Orbán but are also openly signaling they do not intend to forgive Budapest for its obstruction.
For example, Sweden has openly stated it is ready to consider Article 7 of the EU Treaty — a mechanism to strip Hungary of its voting rights. European Council President António Costa called the Hungarian prime minister’s behavior “unacceptable.”
