Hungary has officially unblocked the allocation of €6.6 billion to Ukraine from the European Peace Facility. This decision marks a key turning point in Budapest's diplomatic stance, which for two years consistently blocked funding for Kyiv's defense needs.
Lifting the final veto
According to sources, the decision to utilize funds from the European Peace Facility has already been agreed upon at the level of European ambassadors. Thus, the final Hungarian veto regarding the financing of Ukraine's defense needs has been lifted. Now, the European External Action Service must present a draft law on the disbursement of €6.6 billion to Ukraine. Afterward, the document must undergo an approval procedure by all member states of the bloc.
Targeted purpose: air defense
The final decision regarding the specific purpose of the allocated billions has not yet been made. However, it is expected that the European Union will direct this support towards ensuring Ukraine's air defense. Ukraine has already appealed to international partners to direct part of the unblocked funds towards the acquisition of additional Patriot air defense systems and ammunition for them.
The Head of Ukraine's Ministry of Foreign Affairs, Andriy Sybiha, noted that EU countries could use the reimbursed resources to purchase American air defense systems under the NATO "Ukraine Priority Requirements List" (PURL) program.
Prospects for EU integration and relations with Budapest
In addition to the funding issue, the unblocking of funds could influence Ukraine's accession process to the EU. According to Politico, Hungary may agree to unblock the start of accession negotiations for Ukraine following consultations on the rights of the Hungarian national minority. In the event of a positive decision, Ukraine and Moldova will have the opportunity to move to the next stage of European integration — the opening of the first negotiation cluster.
At the same time, Ukrainian President Volodymyr Zelenskyy stated that he sees real prospects for improving relations between Kyiv and Budapest.