Koretsky and Dombrovskis discuss Ukraine's 2026–2027 financing and frozen Russian assets in video call

Why it matters

The 7 September call addresses how the EU will cover a sizable share of Ukraine's budget and defence needs for 2026–2027, which is central to Ukraine's wartime financing. The €90 billion EU loan programme — already partially disbursed and with new tranches expected — is the largest single external financing mechanism currently supporting Ukraine, and EU funding remains conditional on Ukraine's implementation of agreed reforms and on passage of specific legislation in the Verkhovna Rada. The discussion of frozen Russian assets, which Koretsky raised and Dombrovskis confirmed remain on the EU agenda, points to a potentially transformative but politically contested source of additional funding. The exchange also signalled alignment between Kyiv and Brussels that other international partners must do more on both the budget and defence sides.

What happened

On 7 September, Prime Minister Serhiy Koretsky held a video call with European Commissioner for Economy Valdis Dombrovskis. Three main topics were on the agenda: Ukraine's financial needs for 2026 and 2027, the implementation of reforms required to unlock funding under the €90 billion EU loan programme, and preparation of Ukraine's financial strategy for 2027. After the call, European Commission spokesperson Balázs Ujváry briefed reporters in Brussels, saying the Commission is currently assessing the scale of the problem and that no specific figure for the 2026–2027 financing gap has yet been determined. Technical consultations between Ukraine and the Commission will continue in the coming days and weeks.

Koretsky raised the issue of frozen Russian assets; Dombrovskis confirmed the topic remains on the EU agenda, but said the Commission is presently focused on executing already agreed financial plans. Both sides agreed that other international partners should increase both budgetary and defence support for Ukraine, with Ujváry citing Norway's recent pledge of $9 billion for 2027 as an example. Koretsky also said Ukraine intends to fully use resources under the Ukraine Plan and the macro-financial assistance memorandum, with the necessary government decisions planned by 1 November, and that Ukraine's EU accession remains an unconditional priority with Kyiv expecting the soonest possible opening of the remaining negotiation clusters. On 8 September, Dombrovskis was scheduled to meet IMF Managing Director Kristalina Georgieva to discuss the results of the IMF mission that worked in Kyiv the previous week.

How Ukrainian sources describe it

Ukrainian sources frame the call primarily as Kyiv securing continued and possibly accelerated EU financial support, emphasising the €27 billion defence budget deficit and the need for the EU to advance €90 billion loan disbursements and to revisit the use of frozen Russian assets. Coverage also foregrounds domestic legislative bottlenecks — notably the Verkhovna Rada's 1 September failure to pass a draft law on taxing international parcels — that risk holding up EU macro-financial assistance tranches. Ukrainian outlets include Kyiv's own stated priorities beyond money, such as additional sanctions pressure on Russia and faster opening of the remaining EU accession negotiation clusters, as part of what the Prime Minister raised with the Commissioner.

Where reporting differs

Sources differ on the currency of the headline figures. One article refers to the EU loan programme as $90 billion and to a $27 billion budget hole, while most others describe the programme as €90 billion and the current-year defence budget deficit as €27 billion. Ukrainian institutions also give different figures for Ukraine's 2026 financing needs: the Ministry of Finance projects a state budget deficit of €16 billion for 2026, while the National Bank estimates external financing needs at $12.7 billion.

Background

The EU's €90 billion loan programme for Ukraine is being implemented in tranches; on 24 August the Commission approved €6.1 billion in defence procurement under it, and by the end of 2026 the EU is to disburse about €20 billion in total, with new tranches possible in the coming weeks. The EU has noted that €90 billion covers only about two-thirds of Ukraine's needs in 2026–2027. Ukrainian Finance Minister Serhiy Marchenko has proposed transferring frozen Russian assets under EU jurisdiction and out of Belgian jurisdiction to reduce risks for individual member states; in December of the previous year there was insufficient support in the Council to adopt such a proposal, and Sweden, the Netherlands, Spain and Poland have written to the Commission urging renewed work on a mechanism.

Ukraine's 2026 external financing plan totals about $45 billion, of which roughly $11.6 billion had already been disbursed at the time of reporting, leaving $35 billion confirmed and an additional gap. Estimates of future financing needs diverge: the Ministry of Finance projects a 2026 state budget deficit of €16 billion, while the National Bank estimates external financing needs of $12.7 billion. On 31 August, Servant of the People MPs discussed the budget situation with Koretsky and Marchenko; parliamentary budget committee chair Roksolana Pidlasа said Ukraine needs an additional $29.5 billion in international assistance by year-end and that at least 36 obligations under international programmes had not been met on time. On 1 September a draft law on taxing international parcels failed to gain the required 226 votes in the Verkhovna Rada, which the Commission warned could jeopardise a planned €3.7 billion macro-financial assistance disbursement in early autumn. Ukraine's Cabinet has submitted four draft laws to the Verkhovna Rada needed to unlock external financing, including a third macro-financial assistance tranche of €1.45 billion. The EU's macro-financial assistance programme is closely linked to the IMF programme in Ukraine; Dombrovskis was due to meet IMF Managing Director Kristalina Georgieva on 8 September to discuss the Fund's recent mission to Kyiv.