EU Poised to Approve €90 Billion Ukraine Loan as Druzhba Oil Flows Resume

The €90 billion EU loan for Ukraine has faced a four-month delay, primarily due to objections from Hungary. Former Prime Minister Viktor Orbán had previously blocked the disbursement, linking its release to the full resumption of oil flows through the Druzhba pipeline. This pipeline serves as a critical conduit for Russian crude oil to Hungary and Slovakia. Its disruption had halted payments intended for Ukraine's ongoing defense.

Ukraine's state-owned pipeline operator, Ukrtransnafta, has initiated the pressurization and filling of the Druzhba pipeline. This action precedes an expected resumption of oil deliveries to Slovakia by Thursday morning. Hungarian oil group MOL confirmed the completion of repairs on the Druzhba pipeline, noting that the force majeure, a legal clause releasing parties from contractual obligations due to unforeseen circumstances, in effect since 27 January 2026, officially ended at 6 p.m. on 21 April 2026. With the pipeline's operational status confirmed, ambassadors from the 27 EU member states are now convening to discuss the release of the €90 billion loan to Ukraine.

The impending resumption of oil flow removes a key obstacle to the €90 billion financial aid for Ukraine. This capital is crucial for the nation's defense efforts and economic stability. The EU's move reflects a potential resolution to the internal disagreement that previously hindered the funding. The renewed pipeline operation signals a return to energy supply stability for central European nations dependent on this route. Observers will now focus on the outcome of the EU ambassador's meeting and the immediate disbursement of funds.