Ukraine eyes anti-ballistic systems with EU’s €90 billion loan

A European Commission official close to discussions over the EU's €90 billion loan for Ukraine has told Euronews that Kyiv has suggested that the next defence funding envelope could be used to acquire anti-ballistic missile systems, among other capabilities.

The official could not specify whether these would be the American-made Patriot air defence missile system or its European equivalent — the Franco-Italian SAMP/T NG ground-to-air missile system — as the discussions were ongoing and no formal product schedule had been placed.

The upcoming order is expected to be made before September, with missiles and drones expected to also be requested.

The comments come as European Commission President Ursula von der Leyen condemned a deadly Russian attack in Ukraine overnight on Wednesday, which killed at least 16 and wounded 33. She hinted that anti-ballistic support was on the way.

“Russia is losing the war it started. And it is retaliating by targeting civilians and civilian infrastructure,” she said in a statement posted on social media platform X.

“We are working with Member States and our partners to support Ukraine’s anti-ballistic capabilities. So that Ukraine has the means to prevent the loss of lives.”

The origin of potentially upcoming anti-ballistic missile systems could ruffle feathers as many EU member states, such as France, argue that financial support from the bloc should be used to buy European arms and support Europe’s defence industry.

While others believe that Ukraine must be given full flexibility to buy whatever it needs to immediately defend against Russia's full-scale invasion.

"Ukraine's urgent needs should be front and centre," defence ministers from Finland, Sweden, Lithuania, Denmark, Poland, Estonia and Latvia wrote in a letter published in July arguing for greater flexibility regarding the financial assistance.

Ukrainian President Volodymyr Zelenskyy recently reiterated calls for Washington to release more Patriot interceptors so that Ukraine's armed forces can repel Russian missiles, get through the winter and “save people’s lives".

However, he also announced in July that Ukraine would become the first "combat user" of the Franco-Italian SAMP/T NG missile systems.

According to a public statement, Kyiv intends to order the systems through the 2026 and 2027 tranches of the Ukraine support loan, which should be delivered "as soon as possible" from next year.

'Made in Europe'

Some €60 billion from the total €90 billion of the loan will be provided to bolster the country’s defences during wartime, with the remainder propping up Ukraine's national budget.

A total of €28.3 billion will be provided to Ukraine in 2026 to support Ukraine's defence industrial capacities, with some already paid out.

The 'Made in Europe' provision of the defence envelope aims to ensure as much funding as possible goes to European rather than foreign producers of military capabilities.

Priority is given to producers in Ukraine, the EU and EEA-EFTA defence industries, with certain third-country access also possible.

Brussels can grant a defence derogation if the Ukrainians want to proceed with acquiring any weapons, such as the Patriot air defence missile system, not made in Europe. Exemptions have been granted previously for the acquisition of drone equipment.