Operational Challenges and Funding Gaps
Ukraine faces significant operational challenges, including disruptions to the SpaceX Starshield satellite system, which is critical for battlefield communications and drone operations. A source in Ukraine’s defence ministry reported that Starshield receptors were operating at reduced speeds, complicating military missions. Elon Musk stated that any limits on usage are decided by the US military and ultimately President Trump.
EU foreign policy chief Kaja Kallas acknowledged the difficulty of replacing this capability, saying, "Starlink is really necessary for Ukraine. And unfortunately, in short term, Europe can’t replace this capability."
Financially, Ukraine faces a substantial budget shortfall. Finance Minister Sergii Marchenko stated Ukraine has an unfunded budget gap for 2027 of US$32.6 billion, excluding an estimated US$40 billion in direct military supplies from allies. While the EU has a 90-billion-euro ($101-billion) loan in place, discussions are ongoing about tapping frozen Russian central bank assets to cover future needs. Latvian Premier Andris Kulbergs argued, "The frozen assets are there. That's what should be used for supporting Ukraine," though Belgium, where most funds are held, remains opposed.