Flow of Russian Oil Unlocks $106B European Loan to Kyiv

Russian crude is moving again through the Ukrainian portion of a key pipeline, unlocking billions in European aid for Kyiv. Oil group MOL said Wednesday that shipments via the Ukrainian leg of the Druzhba ("Friendship") pipeline have resumed after months of disruption caused by a Russian drone strike in western Ukraine, Reuters reports. Hungary and Slovakia, both heavily reliant on Russian oil, had accused Kyiv of dragging its feet on repairs, a charge Ukraine rejected. With flows restarting and first deliveries expected by Thursday, Hungary lifted its veto on a $106 billion European Union loan package meant to help keep Ukraine's finances stable through 2026–27.

EU ambassadors in Brussels quickly approved the loan, with formal sign-off by all 27 member states expected Thursday. The move comes after Hungarian Prime Minister Viktor Orban, a consistent supporter of Moscow, lost this month's election to Peter Magyar, who has pledged not to block funding for Kyiv once in office. Orban is acting as caretaker leader until Magyar takes the oath of office early next month, the BBC reports. Orban said over the weekend that Hungary would not stand in the way of approving the loan once oil was flowing again.

Meanwhile, Germany confirmed its PCK Schwedt refinery will receive no Kazakh oil from May, following signals that Russia will halt Kazakhstan's exports through Druzhba, a pipeline already operating well below capacity due to sanctions and repeated drone strikes.