Canada to provide $1.8 billion in economic aid to Ukraine
Editor's note: This story has been updated with additional details on the funding announcement.
Canada will provide Ukraine with $2.5 billion Canadian dollars ($1.8 billion) in economic aid to Ukraine, Prime Minister Mark Carney announced on Dec. 27.
The financial assistance will "will help unlock financing from the IMF (International Monetary Fund)," Carney told reporters alongside President Volodymyr Zelensky in Halifax.
"The attack on Kyiv shows just how important it is that we stand with Ukraine during this difficult time and that we create the conditions for this just and lasting peace and a true reconstruction," Carney added.
According to a news release from the government of Canada, the funding will enable the IMF "to lend Ukraine an additional $8.4 billion" through the Extended Fund Facility program.
The funding would also support Ukraine's reconstruction by providing loan guarantees of up to 1.62 billion Canadian dollars ($1.1 billion) through the World Bank and European Bank for Reconstruction and Development.
The announcement comes amid a brief visit by Zelensky to Canada ahead of his scheduled meeting with U.S. President Donald Trump at his Florida residence, Mar-a-Lago, on Dec. 28 to discuss the 20-point peace plan.
Carney and Zelensky will hold bilateral talks ahead of a wider phone call with European leaders ahead of Zelensky's talks with Trump.
The latest aid announcement comes as European leaders on Dec. 19 approved an interest-free loan for Ukraine totaling 90 billion euros ($105.5 billion) for 2026-2027, as Kyiv was set to run out of cash by mid-2026.
Prior to today's announcement, Kyiv needed to secure roughly $50 billion from its allies to fulfill its budget needs.
