By Holger Hansen
BERLIN (Reuters) -Germany’s outgoing government has agreed to release additional 3 billion euros ($3.3 billion) in military aid for Ukraine this year after lawmakers passed plans for a fiscal overhaul, a finance ministry document seen by Reuters on Wednesday showed.
The move is widely seen as a breakthrough after outgoing Chancellor Olaf Scholz had insisted on making the easing of borrowing rules a prerequisite for the additional aid.
As uncertainty grows about the future of U.S. security guarantees under President Donald Trump, European states are under increasing pressure to show their commitment to Ukraine in its war with Russia, including with military spending.
Finance Minister Joerg Kukies has informed parliament’s budget committee that the requirements for authorisation of the extra funds have been met, according to a submission to the committee from his ministry.
In the letter, the ministry agreed to additional spending of 2.547 billion euros for this year. Together with other amounts, including a reimbursement from the European Peace Facility, Germany will make 3 billion euros available.
For the years 2026 to 2029, Kukies plans to authorise commitments of 8.252 billion euros for military aid to Ukraine, bringing the total to more than 11 billion euros.
The budget committee is expected to approve the funds on Friday provided the Bundesrat upper house passes the constitutional reform.
On Tuesday, the Bundestag lower house of parliament approved the seismic shift in German fiscal rules aimed at boosting military spending and reviving economic growth.
EU leaders meet on Thursday and Friday and among topics they will discuss is aid for Ukraine.
($1 = 0.9174 euros)
(Reporting by Holger Hansen; writing by Kirsti Knolle, Rachel More and Madeline Chambers; editing by Thomas Seythal and Tomasz Janowski)
