UK to allocate $3 billion under ERA initiative for weapons, equipment repair for Ukraine

Ukraine’s Ministry of Defense and Ministry of Strategic Industries announced the agreement.

According to it, Ukraine will receive $3 billion in 2025-2026. The funds will be used to:

• buy foreign-made defense products;
• repair and maintain military equipment;
• carry out joint projects with Ukrainian and international defense companies;
• purchase other critical materials, including Ukrainian-made products.

The money will come from excess profits from frozen Russian assets. It will help buy weapons, repair equipment, and support joint projects with foreign defense companies. It can also be used for equipment maintenance.

The United Kingdom has already sent two payments under the ERA program to Ukraine, totaling about $2 billion.

Davyd Aloyan, Ukraine’s Deputy Minister for Strategic Industries, said Ukrainian companies have $35 billion worth of capacity, but they lack the funds to use it fully.
 "Using excess profits from frozen Russian assets will greatly boost Ukraine’s defense production and repair capabilities," he added.

On Ukraine’s side, First Deputy Minister of Defense Serhiy Boyev and Deputy Minister for Strategic Industries Davyd Aloyan signed the agreement. Major General Anne-Lee Riley, Director of the Strategic Capabilities Acquisition and Employment Directorate of the UK Ministry of Defense, signed for the UK.

For reference: The ERA (Extraordinary Revenue Acceleration) program is a joint effort by the G7 countries to support Ukraine. It uses profits from frozen Russian assets to repay loans given by the G7 to Ukraine. The total program is $50 billion, with part of the funds allocated for defense needs.