First of all, I would like to thank the European Parliament for its strong and unwavering support for Ukraine.
Russia continues its war of aggression against Ukraine, with brutal attacks targeting not only Ukraine's military infrastructure, but also its civilian population and energy systems.
Europe has been at the forefront of supporting Ukraine since the first day of this aggression.
In total, the European Union has provided close to EUR 178 billion in support since the start of the war.
This is much more than any other global partner.
This is not only a demonstration of solidarity.
It also reflects a deep conviction that Ukraine's security is Europe's security.
Through the Ukraine Facility, we are playing a pivotal role in supporting Ukraine's European ambitions, providing the necessary backing to implement crucial reforms and bring them closer to their goal of EU accession.
We also continue supporting Ukraine in meeting its defence needs.
EUR 62.3 billion in military assistance measures has been disbursed by the European Union and Member States to date, including through the Peace Facility.
The Act in Support of Ammunition Production, or ASAP, was instrumental to increasing the production of artillery shells from 300,000 in 2023 to 2 million planned this year.
In addition, approximately 80% of the two million rounds of large-calibre ammunition pledged for Ukraine have been delivered, reflecting strong progress towards our 2025 goal.
Last week, with your help, we successfully concluded negotiations on the European Defence Industry Programme, securing final agreement that will also serve to provide crucial support to Ukraine's defence sector.
With €300 million in funding under the Ukraine Defence Instrument, EDIP will help modernise Ukraine's defence capabilities, but also paves the way for closer integration with our European defence ecosystem and architecture.
It will also help reinforce our cooperation with Ukraine on key defence capabilities.
This includes on drone related technologies, as you called for in your resolution of 8 October, responding to the incursions into Member States' airspaces by Russia.
This partnership is beneficial to both Ukraine and Europe.
However, as President von der Leyen said in her State of the Union address, it should not only be European taxpayers who bear the brunt of this support.
This is Russia's war.
And Russia is under an obligation to compensate Ukraine for the damages it has caused.
This is why, under the European Union's leadership, in 2024, G7 Members unlocked EUR 45 billion in additional funding for Ukraine under the Extraordinary Revenue Acceleration initiative.
These G7 loans are being and will be repaid using the profits generated by the immobilisation of Russian Central Bank assets in the EU.
The implementation of the existing ERA loans is progressing well, with €25.3 billion already disbursed by G7 partners and the EU.
It also marks an important step: Russia is already beginning to pay for the destruction it has caused in Ukraine.
But the significant increase in military expenditures, driven by Russia's ongoing attacks, has put a substantial strain on Ukraine's resources.
As a result, additional support is needed to sustain Ukraine's defence efforts.
This is why President von der Leyen proposed in the State of the Union address to provide Ukraine with a Reparations Loan, funded by the cash balances of the immobilised Russian Central Bank assets held in the EU.
Ukraine would have to repay this loan only once Russia pays for the damages.
This initiative would be fully compliant with international law, which remains our guiding principle on our actions.
This Reparations Loan would mobilise significant new funding for Ukraine and help send a clear message to Russia that its war of aggression will not succeed.
And we are working towards a collaborative effort with international partners to ensure fair burden sharing on supporting Ukraine also going forward.
Should European leaders agree to take this work forward in their meeting of 23-24 October, the Commission stands ready to come forward with a proposal in the coming weeks.
Thank you and I look forward to hearing your views on this matter.
