Canada commits €500m to EU's €90bn Ukraine loan facility

Canada will contribute €500 million as an initial stake in the EU's planned €90 billion loan facility for Ukraine, Prime Minister Mark Carney announced on Friday, Oct. 30, at the 21st EU-Canada summit in Montreal.

Carney made the commitment alongside European Commission President Ursula von der Leyen and European Council President António Costa. He praised the arrangement for using immobilised Russian sovereign assets to supply Ukraine with military and reconstruction financing outside normal budget channels.

"With respect to the Ukraine loan, €500 million will be our initial participation," Carney said. The Canadian prime minister characterised Ottawa's entry into the European financing mechanism as a practical expression of Canada's association with the EU, describing the bilateral partnership as a "positive alliance".

The announcement coincided with a separate European Commission decision to advance the remaining €45 billion tranche under the broader €90 billion Ukraine Support Loan facility, locking in multi-year financing for Kyiv through 2027.

Canada's entry into the loan architecture opens a procurement channel enabling Kyiv to purchase military equipment directly from Canadian defence manufacturers — including armoured vehicles, sensory equipment and drone systems — using European financial facilities, according to summit background materials released by the Canadian government.

In a joint communiqué, Carney, von der Leyen and Costa reaffirmed their commitment to Ukraine's sovereignty within its internationally recognised borders and vowed to intensify sanctions pressure against Moscow.