Blocking the EU loan jeopardizes the approval of the $8 billion IMF program.
Points of attention
- Hungary blocked an agreed EU loan for Ukraine worth 90 billion euros, posing a threat to the approval of an $8 billion IMF program for Ukraine.
- The need for a unanimous decision by all EU member states stands in the way of Ukraine receiving financial aid from both the EU and the IMF.
Hungary blocks EU loan for Ukraine: what next?
Hungary has blocked an agreed EU loan for Ukraine worth 90 billion euros, the Financial Times reports, citing sources familiar with the situation.
According to the journalists' interlocutors, on February 20, the Hungarian ambassador to the EU expressed objections to the bloc lending this amount to Ukraine by issuing debt obligations guaranteed by the EU budget.
At the same time, journalists noted that in order to allocate a loan, Ukraine needs the support of all member states of the bloc.
The publication adds that Hungary's blocking of the EU loan for Ukraine could also jeopardize the approval of a new IMF loan program for Ukraine for $8 billion.
The FT recalls that the loan was agreed in December 2025 by EU leaders. Hungary and Slovakia did not object to this decision, provided that they would not be responsible for repaying the loan, which would be guaranteed by other loans.
However, a unanimous decision is still required for the European Commission to use the so-called EU budget reserve to borrow and lend to Ukraine.
