EU leaders to discuss Iran, Ukraine at Cyprus summit

Leaders from the EU's 27 member states gathered in Cyprus on Thursday to discuss the geopolitical challenges facing the bloc, including the wars in Iran and Ukraine.

Here's what's on the agenda:

Ukraine

The two days of meetings began with leaders greenlighting a long-discussed €90 billion ($105 billion) loan to Ukraine and agreeing to even more sanctions on Russia.

"The EU's strategy to achieve a just and ‌lasting peace in Ukraine rests ‌on ​two pillars: strengthening Ukraine; increasing pressure on Russia. Today we moved ​forward on both," European Council President Antonio Costa ⁠said ​in a separate ​post on X.

The money had long been held up due to opposition from outgoing Hungarian Prime Minister Viktor Orban, who was not expected to travel to Cyprus. Preliminary approval for the funds was given on Wednesday.

Ukrainian President Volodymyr Zelenskyy is scheduled to join leaders in the seaside town of Ayia Napa on Thursday for talks on Russia's war with Ukraine. In his address to the meeting, Zelenskyy is expected to reiterate Kyiv's desire to join the EU and urge the bloc to put more pressure on Russia.

Middle East

On Friday in Nicosia, European leaders are to be joined by Lebanese President Joseph Aoun, Egyptian President Abdel Fattah al-Sisi, Syrian President Ahmed al-Sharaa, and Jordanian Crown Prince Hussein bin Abdullah.

During a working lunch, they are set to discuss the situation in Lebanon, where a 10-day ceasefire is in place to quell hostilities between Israel and the Iran-backed militant group Hezbollah.

A separate ceasefire is also currently in place in the US-Israel war with Iran.

Iran's effective closure of the Strait of Hormuz has sent energy prices surging and sparked fears about a potential shortage of jet fuel in Europe. About 20% of the jet fuel consumed in the EU relies on imports via the key waterway.

A senior EU official cited by the AFP news agency said the bloc was "ready to contribute" to keep the strait open "when the conditions are met."

"We certainly hope that the ceasefire is kept and maintained," the official said.

Raising the EU budget

Also on Friday, leaders are expected to discuss the bloc's upcoming long-term budget for 2028-2034 for the first time.

The EU executive wants a bigger budget worth around €2 trillion ($2.3 trillion). A major challenge will be figuring out how to finance goals like boosting the EU's competitiveness and defense capabilities at a time when many member states are short on funds.

A final agreement is hoped for by the end of 2026.

Edited by: Sean Sinico