NextGenerationEU
EU recovery fund financed by joint Commission borrowing from June 2021.
NextGenerationEU is the EU recovery fund of up to €806.9bn, financed by joint Commission borrowing since June 2021. The €90bn Ukraine Support Loan, which paid its first €800m of budget support on 2 October 2026, uses the same borrowing model.
Last refreshed: 12 October 2026
Timeline for NextGenerationEU
Mentioned in: EU pays Kyiv €2.9bn with first budget-loan draw
Russia-Ukraine War 2026Background
NextGenerationEU is the European Union's recovery fund, financed by European Commission borrowing on the markets and backed by the EU budget. Its maximum envelope was set at €806.9bn in 2021, and repayments run from 2028 to 2058. The Recovery and Resilience Facility makes up its largest part.
the Commission's first transaction under it was a €20bn ten-year bond on 15 June 2021. It made joint EU borrowing at scale a working tool rather than a proposal.
That tool now funds Ukraine. The €90bn Ukraine Support Loan, built on that model, made its first budget-support payment to Kyiv on 2 October 2026: €800m inside a €2.9bn transfer. Its defence strand had been paying out since July. The loan follows the NextGenerationEU design of joint debt guaranteed by the EU budget.