Germany has announced that it will be halving its military aid for Ukraine in 2025 compared to this year, with a proposed budget of four billion euros, down from the previous 7.5 billion euros allocated. This decrease in aid could have a significant impact on Ukraine, especially in terms of financial support.
The EU and its member states have so far donated €38 billion in military aid to Ukraine, with Germany contributing €28 billion. However, neighbouring countries like Poland have been more active in providing concrete military aid in terms of equipment.
The G7 is considering using the $300 billion in frozen Russian assets to supply Ukraine with military equipment, but this may not be a sustainable solution. The United States currently provides the most military aid to Ukraine, but the upcoming elections could impact this support.
To address the situation, the EU is creating a new mechanism for Ukraine worth €50 million to support the country’s recovery and reforms. The EU also understands the need to invest in its own defence industry to deter potential attacks from Russia on its members.
European countries will need to make difficult decisions in the coming months regarding the allocation of resources to support Ukraine while also strengthening their own defence capabilities. The European Commission is considering creating a new position dedicated to a defence portfolio to manage the first European defence industrial strategy. EU leaders have chosen former Estonian Prime Minister Kaja Kallas to replace Josep Borrell in overseeing the bloc’s security and defence policy.
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