I appear before the House today to discuss the motion seeking approval for Ireland to exercise the option, in accordance with Article 29.4.7°.i of Bunreacht na hÉireann, to participate in enhanced co-operation on the establishment of a loan for Ukraine. It is almost four years since Russia's unprovoked, unlawful and unjustifiable attack on Ukraine began and the situation in Ukraine remains grave. Russia's illegal war of aggression has claimed almost 15,000 civilian lives and over 100,000 military casualties. It has forced the migration of 6 million people and caused over €450 billion of damage to Ukraine's infrastructure. Recent weeks have seen an escalation of deeply disturbing drone and missile attacks targeting critical infrastructure. These attacks have killed and injured civilians and left millions without power or heating in the depths of winter.
Each day that Russia continues its brutal war against Ukraine is another day that Russia continues to violate international law and makes the world, and Europe in particular, a less secure and more dangerous place. The war is having a broad impact on the European Continent, particularly from an economic, fiscal and security perspective. Uncertainty levels remain elevated. Economic momentum has slowed, investment and consumer spending has weakened, inflation has risen and supply disruption, including in energy supply, has emerged. Member states have been forced to take action to mitigate these economic impacts and to enhance their security and defence infrastructure. How Europe and the international community respond has far-reaching consequences for Ukraine, for European security and for the European economy as well as for the future of the international, rules-based order on which our security and prosperity depend. Ireland has consistently expressed its unwavering support for Ukraine's sovereignty and territorial integrity. The people of Ireland feel strong empathy and solidarity with the people of Ukraine. This was re-emphasised during President Zelenskyy 's visit to Dublin in December of last year and by the Taoiseach at the European Council later that month.
Since the onset of the war in February 2022, Ireland's total allocated support to Ukraine amounts to over €464.4 million. This includes €173.4 million in stabilisation and humanitarian assistance, €200 million in bilateral, non-lethal military support for Ukraine, €66 million in non-lethal military support under the European Peace Facility as well as €25 million to support the provision of energy to Ukraine, announced last month. Beyond financial support, Ireland has welcomed over 123,700 people fleeing Russia's war of aggression against Ukraine since the war began, under the temporary protection directive.
There has been widespread international support for Ukraine, particularly from the EU. Since the start of Russia's war of aggression against Ukraine, the EU and its member states have provided €193.3 billion in overall support. This includes, for example, €18 billion under the macro-financial assistance, the EU's contribution to the G7 extraordinary revenue acceleration loan and €50 billion under the EU budget's Ukraine facility, of which €28 billion has already been disbursed. On 3 December, European Commission President, Ursula von der Leyen, and EU Commissioner Dombrovskis made a statement on Ukraine's financial needs, noting that the IMF estimates that Ukraine will need €135 billion for 2026 and 2027. However, this assumes that the war will end later this year. The level of uncertainty around this remains exceptionally high, not least due Russia's intensified attacks.
The European Commission has advised member states that the financial situation in Ukraine requires a disbursement of EU moneys by April. It is in this context that new financial support from the EU is urgently needed. Given the ongoing war and these imminent financing needs, extensive efforts took place in the EU in late 2025 to agree a reparations loan for Ukraine of €210 billion to cover the period up to 2030. It was proposed that this would have been funded either by borrowing cash balances from banks and other financial companies holding immobilised Russian Central Bank assets, or by joint EU borrowing, guaranteed by EU budget headroom. Despite intensive discussions it was not possible to come to an agreement on this proposed reparations loan at the December European Council meeting, though leaders asked for work to continue on the technical and legal aspects of this loan. In place of this proposal, leaders agreed the Ukraine support loan of €90 billion for 2026 and 2027, using EU borrowing on capital markets, to be repaid by reparations due by Russia and backed by EU budget headroom. The European Commission is currently working with member states on the regulations to underpin this. The €90 billion support package is estimated to cover two thirds of Ukraine's overall financing needs for the next two years. Given its imminent financing needs, it is critical that European financial supports are disbursed to Ukraine in the second quarter at the latest. These supports will further advance strategic investment in Ukraine and contribute to European security, defence and sustainable economic development. Continued and co-ordinated support from international partners therefore remains essential, including timely delivery on commitments by the G7 for 2026 and beyond.
While the December European Council agreed the €90 billion loan, it was not possible to get agreement across all 27 member states as the Czech Republic, Hungary and Slovakia opted not to participate. Article 20 of the Treaty on European Union sets out a mechanism, called enhanced co-operation, that allows a minimum of nine EU member states to set up advanced co-operation in a particular area. This is provided for when the EU as a whole cannot achieve the goals of such co-operation within a reasonable period. So, the remaining 24 member states, including Ireland, asked the European Commission to prepare a proposal for a Council decision authorising enhanced co-operation on establishing the loan for Ukraine. Approval to proceed with enhanced co-operation is granted by the Council, based on a European Commission proposal and following European Parliament consent. Agreement in principle to the European Commission proposal on enhanced co-operation was provided at the Committee of EU Ambassadors on 9 January. The European Parliament provided its consent on 21 January.
The final agreement will be taken by the participating member states at Council in the coming days. On 20 January, the Government provided its approval to, first, proceeding with enhanced co-operation on establishing a loan to Ukraine and, second, moving today's motion seeking the prior approval for same from both Houses of the Oireachtas. This is in line with Article 29.4.7° of Bunreacht na hÉireann, which outlines that "the State may exercise the options or discretions to which Article 20 of the Treaty on European Union relating to enhanced cooperation applies, but the agreement to any such decision, regulation or act shall be subject to the prior approval of both Houses of the Oireachtas." By opting to participate in enhanced co-operation on the loan to Ukraine, Ireland will provide a clear signal of our continued solidarity with Ukraine and commitment to the security of our Continent.
Last December, we here in the Oireachtas heard directly from President Zelenskyy on the devastation that Russia's unprovoked and unjustified full-scale war is having in Ukraine. We cannot and must not stand idly by in the face of such aggression. Ireland has been, and will continue to be, a strong supporter of Ukraine. There is an onus on us all to act and, in this case, provide our support to help to address Ukraine's financing needs for 2026 and 2027. This is essential for Ukraine to be able to exercise its inherent right of self-defence, support macrofinancial stability and put it in the strongest possible position in peace negotiations. It is for this reason that I propose rejecting the amendment to the motion put forward by Sinn Féin. It is critical that Ireland and its EU partners continue to provide Ukraine with the support necessary to exercise its right to self-defence under Article 51 of the UN Charter.
In addition, the December European Council conclusions clearly recognise the specific character of the security and defence policy of certain member states and the security and defence interests of all member states in relation to the loan to be provided to Ukraine. The proposal is for the loan to be used to finance Ukraine's wider budget needs as well as defence spending.
With the reasoning I have set out, I urge Senators to support today's motion seeking approval for Ireland to exercise the option to participate in enhanced co-operation with 23 other EU member states on the establishment of a loan to Ukraine. I commend the motion to the House.