Denmark will disburse approximately 830 million euros throughout 2025 for military donations through Ukraine’s defense industry—an initiative carried out on behalf of the European Union. This disbursement represents a large portion of the extraordinary profits earned from frozen Russian assets this year.
According to Denmark’s Minister of Defence, Troels Lund Poulsen, “… In light of the geopolitical situation, it is important to show that we stand with Ukraine. With the ‘Danish Model’ Denmark has taken the lead in the international efforts to strengthen defence production in Ukraine. It is truly exceptional that we now have the opportunity to enhance this effort even further with additional funding from the EU. It is a recognition of Denmark’s efforts on this matter that the EU has decided to channel even more funds through us this year …”.
Thanks to donations directed toward purchases from Ukraine’s defense industry, Kyiv’s production network can strengthen its local production capacity, allowing “… a faster adaptation to Ukraine’s needs. … In addition, the Ukrainian armed forces will receive equipment they are already familiar with and can maintain themselves …”.
One example of this initiative has been the production of the 2S22 Bohdana wheeled artillery combat vehicles, whose production rate has multiplied thanks to this support. The aid program has also helped expand the capabilities of Ukraine’s battered defense industry, enabling the nationalization of more than 90% of the Bohdana’s components, just to name one case.
The first step in using extraordinary profits from frozen Russian assets was taken in May 2024, when the EU’s foreign ministers decided to use these funds to support Ukraine. “… Specifically, the funds will be used to finance selected member states’ military support to Ukraine in 2025. This will include donations of ammunition, air defense and military equipment produced in the Ukrainian defense industry …”, according to Ukraine’s Ministry of Defence.
Thanks to the Danish model, Denmark was the first country to finance acquisitions from Ukraine’s defense industry through the Ukrainian state. “… In 2024, Denmark used the model to act as implementing actor on behalf of the EU for approximately 400 million euros of windfall profits from frozen Russian assets …”.
For the 2025–2027 period, the Danish government has allocated a total of 3 billion Danish kroner from the Danish Fund for donations made through Ukraine’s defense industry. Additionally, the Nordic country will also act as an implementing partner for several other countries, including Norway, Sweden, Iceland, and Canada.
Illustrative cover image. Credits: Ukraine MoD
You may also like: Denmark selects the NSM as its new anti-ship missile to replace the Harpoons transferred to the Ukrainian Armed Forces
