Denmark to Disburse Over €800 Million to Ukraine in 2025 as Part of EU-Led Military Support Initiative
Denmark has officially confirmed it will oversee the allocation of approximately €830 million in military aid to Ukraine throughout 2025, acting as the EU’s implementing partner under the European Peace Facility. The funding comes from windfall profits derived from frozen Russian assets and will be used to procure military equipment directly from Ukraine’s defense industry.
The Gaze reports on this with reference to the Danish Ministry of Defence.
This decision follows a landmark agreement between the Danish Ministry of Defence and the European Commission, recognizing Denmark’s vital role in reinforcing Ukraine’s defense manufacturing capabilities. The so-called “Danish Model,” first employed in 2024, emphasizes channeling funds into Ukraine’s own industrial base to accelerate production and ensure compatibility with the Armed Forces of Ukraine.
“In light of the geopolitical reality, it is essential that we not only stand with Ukraine but help build its future. By sourcing equipment locally, we reduce logistical burdens and simultaneously bolster Ukraine’s self-reliance,” said Danish Defence Minister Troels Lund Poulsen.
In 2024 Denmark administered €400 million in similar aid that was widely praised internationally and is now being significantly expanded. With support from both the EU and national partners such as Norway, Sweden, Iceland, and Canada, Denmark expects to double its contributions in 2025. From 2025 to 2027, Copenhagen has committed an additional 3 billion DKK through its Ukraine Fund for local defense procurement.
In parallel, Denmark announced its 26th military aid package to Ukraine, valued at 4.2 billion DKK (approximately $628 million). The package, co-financed by the EU and the Danish Ukraine Fund, includes artillery systems, Czech-initiative-funded ammunition, aircraft support equipment, and enhanced training programs.
The new tranche follows a high-level meeting in May between Ukrainian President Volodymyr Zelenskyy and Danish Prime Minister Mette Frederiksen, during which they discussed further investment in Ukraine’s defense sector.
As The Gaze reported earlier, the Nordic and Baltic countries will provide training and equipment for a Ukrainian unit in 2025 as part of their military support for Ukraine.