A long political and economic standoff in Europe has come to an end as Ukraine resumed pumping Russian oil through a key pipeline, clearing the way for a major €90 billion loan from the European Union, according to BBC News. The breakthrough follows months of tension that had delayed much-needed financial support for Kyiv.
Shortly after the oil flow restarted, EU ambassadors in Brussels gave preliminary approval to the loan package, along with a new round of sanctions against Russia. The funding, first agreed late last year, is expected to receive final approval soon.
The delay had largely been caused by Hungary’s Prime Minister Viktor Orbán, who blocked the loan earlier this year. He argued that Ukraine should restore oil supplies to Hungary and Slovakia before any financial aid could move forward. The disruption had followed damage to infrastructure caused by Russian attacks, which forced Ukraine to halt transit through the pipeline.
Now, after weeks of repair work carried out under difficult conditions, Ukrainian officials confirmed that the pipeline is operational again. Oil is expected to begin reaching Slovakia and Hungary within days, bringing relief to both countries.
The change in Hungary’s political landscape has also played a role. Orbán’s recent election defeat has opened the door for a reset in relations with the EU under incoming leader Péter Magyar, who has signalled a more cooperative approach.
For Ukraine, the loan is critical. Officials have described it as essential for the country’s survival as it continues to face the pressures of war. Around two-thirds of the funds will support defence efforts, while the rest will help stabilise the economy.
EU foreign policy chief Kaja Kallas said the agreement sends a strong message that Europe remains committed to Ukraine and that Russia will not be able to outlast its resistance.
Although the political hurdle has been cleared, it may still take several weeks before the money reaches Kyiv. Still, for now, the restart of a single pipeline has helped unlock one of the EU’s most significant support packages since the conflict began.
