Germany To Release €3 Billion in Military Aid for Ukraine
Germany Unlocks €3 Billion in Military Aid for Ukraine After Fiscal Reform
In a significant shift, the German government has announced plans to allocate an additional €3 billion ($3.3 billion) in military aid to Ukraine, a move signaled by Finance Minister Joerg Kukies to the parliamentary budgetary committee.
This development, detailed in a draft document from the Finance Ministry obtained by Reuters, marks a breakthrough following months of contention over funding constraints. The decision comes on the heels of a landmark vote in the German Parliament on March 18, 2025, where lawmakers approved a 513-207 amendment to the Basic Law, easing the country's stringent debt brake rules for defense and security spending.
Previously, outgoing Chancellor Olaf Scholz had resisted expanding military aid without relaxing borrowing restrictions, a stance that sparked fierce debate and contributed to the collapse of his coalition government.
Scholz’s insistence on fiscal reform as a prerequisite had stalled the €3 billion package, despite pressure from Defense Minister Boris Pistorius and Foreign Minister Annalena Baerbock to bolster support for Kyiv amid Russia’s ongoing aggression. The recent parliamentary vote has now cleared the path, allowing Germany—Europe’s largest economy and Ukraine’s second-biggest military backer after the U.S.—to reinforce its commitment.
The aid package, set to enhance Ukraine’s defense capabilities, adds to the €4 billion already budgeted for 2025, supplementing the €8 billion provided in 2024. This shift reflects Germany’s strategic recalibration as it navigates domestic fiscal challenges and international expectations, including NATO’s defense spending targets.
While the Finance Ministry has not detailed the exact timeline for disbursement, the move underscores a broader push to sustain Ukraine against Russian advances, even as Germany anticipates Kyiv will increasingly rely on a $50 billion G7 loan package. Neither the Finance Ministry nor Scholz’s office has issued an immediate public response.