EU leaders reaffirm their commitment to Ukraine. (Photo: France Info)

“I have outlined in this letter to the leaders the ReArm Europe Plan. This set of proposals focuses on how to use all of the financial levers at our disposal to help member states to quickly and significantly increase expenditures in defense capabilities,” EC President Ursula Von der Leyen said at a special EU summit in Brussels on Thursday.

“Urgently now but also over a longer time over this decade. Europe is ready to assume its responsibilities. ReArm Europe could mobilize close to 800 billion euros of defense expenditures,” she said.

The initiative introduces financial mechanisms to help EU members boost defense investments and acquire military equipment, backed by a 161 billion USD loan facility. These funds will be allocated to key defense priorities, including air defense systems, missile research, drones, counter-drone technology, and artillery systems.

Despite opposition from Hungary, EU leaders reaffirmed their commitment to Ukraine, pledging 33 billion USD in financial aid for 2025. This support will come from multiple sources, including profits from frozen Russian assets.

Discussions are ongoing to establish a "coalition of the willing" to provide long-term security guarantees for Kyiv. This coalition, composed of EU member states and external partners, would provide military, financial, and regional stability support after a peace agreement in the Russia-Ukraine conflict.